…as it plans manufacturing and store expansion
By ETimes
HARARE – Edgars Stores Ltd reported a 14% rise in group volumes for the third quarter to 5 October 2025, helped by stronger foreign currency inflows, stable pricing and improved product assortments.
The company pointed to easing ZiG inflation and stronger foreign currency inflows from key sectors as reasons for a relatively stable operating environment in its latest quarterly trading update.
Group volumes increased to 1.5 million units from 1.3 million a year earlier.
Accordingly, gross margins strengthened by 10% underpinned by improved merchandise assortments and stronger customer acceptance of our ranges.
“Management continues to focus on enhancing merchandise freshness, quality, and price competitiveness across all stores,” Edgars chief executive officer Sevious Mushosho said in a trading update.
The flagship Edgars chain recorded a 12% rise in sales volumes to 642,763 units. Mushosho noted a shift in sales mix after promotional activity ended, saying credit sales came in at 60% while cash sales accounted for 40%.
Volumes at the Jet chain rose 5.6% to 777,550 units, with a similar shift in sales mix. Credit sales were 60% compared with 40% cash.
Express, the group’s small-format offering, posted a 34% quarter-on-quarter increase to 38,048 units. The chain, which now operates 12 stores, “will continue to roll out additional stores at strategic sites as the business seeks to increase the business to a critical mass in the upcoming year,” he said.
The group’s manufacturing arm, Carousel, continued its expansion, with cumulative units supplied to stores up 53% to 318,412.
Mushosho indicated that the new machinery installation was progressing.
“The cutting room solution and boiler were installed during the quarter and commissioning is scheduled for November 2025,” he said.
He said the retooling drive was aimed at boosting efficiency and competitiveness.
“This investment, together with consistent use of high-quality fabric has now capacitated Carousel to produce quality that meets international standards at competitive prices.”
In its financial services unit, the debtors’ book grew 11% to US$10.5 million.
Asset quality “improved commendably,” with 84.2% of accounts current, compared with 77% in the same period last year.
Mushosho said the operating environment remained challenging due to currency issues and shifting policy frameworks, but praised recent government measures, including SI 34 and SI 77 of 2025 and the ban on second-hand clothing imports and street vending.
“The group welcomes these policy interventions, which if fully executed, could enhance formal retail competitiveness, foster job creation and reinforce local manufacturing capacity,” he said.
In the outlook, the clothing retailer plans further investment in manufacturing and will add three Express stores before year-end.
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