By ETimes
Zimre Holdings expects to start construction on its first project in the second half of 2023, as the infrastructure and landmark projects programme is moving along nicely.
This is part of the company’s signature developments worth US$80 million to unlock some value from its investment property portfolio.
“The project consists of a mixed-use development in Mazowe which will bring commerce, aid in the national devolution strategy and encourage rapid urbanisation of the area as a focal growth node,” chairperson Desmond Matete said in a statement accompanying for the half year ended 30 June 2023.
“ZHL is committed to ensuring all its projects align with environmental, social and governance (ESG) principles to ensure their sustainability and bene‑t to all the group’s stakeholders.”
Infrastructure remains one of the least funded sectors in the country and requires billions of dollars in foreign currency to be resuscitated.
As for financials, the group’s inflation adjusted total income declined by 25% from $141.2 billion to $105.8 billion.
The property business recorded growth in rental income, increasing by 172% against the prior year.
Given an increase in direct insurance service expenditures that rose by 17% and 412% respectively, due to an increase in directly attributable charges, the insurance service result was negative.
In the first half of 2023, a favourable claims ratio of 35% was attained for the reinsurance activities, down from 72% at the same time the previous year.
The group recorded steady growth in profit for the period, with an increase of 54% to $167.6 billion.
“The positive growth in profitability is largely driven by foreign exchange gains on USD-denominated net monetary assets and revaluation gains on investment properties,” Matete said.
It declared an interim dividend of 0.0137 US cents per share, amounting to US$250,000 for the period to June 2023.