• Mon. Jul 22nd, 2024

Simbisa continues on expansion drive in 2023

ByEconomic Times

Apr 6, 2023

By ETimes

The Victoria Falls Stock Exchange listed fast foods retailer, Simbisa in its half year results said it will open 49 stores until the close of its financial year in June 2023.

Simbisa board chairman, Mr. Addington Chinake in a statement accompanying results, said, “There are exciting prospects for the Group for the remaining six months of the current financial year ending 30 June 2023. The Group expects to open a further 49 stores to close the financial year with 680 stores.”

According to the chairman, the group will continue to invest any additional free cash generated in strategic assets to achieve the group’s overall target growth trajectory.

Mr. Chinake added that, “In the Region, the Group expects tough economic conditions to persist in Kenya and Ghana with customers’ disposable income remaining under pressure.”

The chairman however said that various strategic initiatives are in place to mitigate the impact on customer counts and maintain operating margins.

Simbisa seeks to expand its delivery business across the group and says this initiative remains a priority as a way to cater for more customers.

“The Group is rolling out brand-specific delivery applications for its flagship brands to supplement the Group’s Dial-A-Delivery application. Through these brand-specific applications, customers will have access to exclusive offerings from their favorite restaurants,” Mr. Chinake added.

Zimbabwe’s economy is projected to grow in 2023 premised primarily on improved performance from mining and construction and supported by international remittances. Likewise, the Simbisa board hopes that the authorities will continue to implement prudent monetary and fiscal policy measures.

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However, the fast foods retailer also called on the government to address the confusing and largely unfair Income Tax regime for corporates, and engender fiscal and monetary policy consistency to aid in business planning.

These are Simbisa’s maiden set of results following the listing of the company on the Victoria Falls Stock Exchange.

On November 18, 2022, shareholders approved the delisting of the ordinary shares of the company from the Zimbabwe Stock Exchange and the listing of the ordinary shares on the VFEX.

According to the company, the delisting from the ZSE and subsequent listing on the VFEX is expected to enhance long-term shareholder value – Harare

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