The trading environment became progressively more unstable towards the end of the six months to 30th September 2019. The country reintroduced the Zimbabwe Dollar (ZWL) as the sole currency at the end of June 2019 and discontinued the use of multi-currencies in local transactions and settlement. The ZWL has depreciated markedly since its introduction and contributed significantly to price increases in the period under review.
The scarcity of foreign currency slowed down the importation of goods and this, combined with high prices of goods that were available, slowed down consumption particularly in the second half of the reporting period. Resultantly, volume sales declined by 23% compared to the same period last year.
Despite the difficult conditions, the company’s stores remain reasonably stocked for the upcoming festive season and beyond. While price increases have been frequent because of the instability in the market, the company will continue in its efforts to deliver the best possible value to its customers.
DELAY IN PUBLICATION OF INTERIM RESULTS
In October 2019 the Public Accountants and Auditors Board pronounced that Zimbabwe is now in hyperinflation and all entities preparing and presenting financial statements for periods ended on or after 31st July 2019 were to adopt IAS 29, Financial Reporting in Hyperinflationary Economies. The guidelines for the proper implementation of the accounting standard are still being finalized. Accordingly the Group’s interim financial statements will be published as soon as possible once inflation adjusted accounts have been prepared.
DIVIDEND ANNOUNCEMENT TO SHAREHOLDERS
NOTICE is hereby given that on the 13th of November 2019, the Board of Directors declared an interim dividend (number 26) of 4 ZWL cents per share payable in respect of the qualifying ordinary shares of the Company to be paid out of the profits for the current financial year.
The dividend will be payable on or about the 3rd of December 2019 to shareholders in the Group’s register at the close of business on the 29th of November 2019. Disbursements to foreign shareholders is subject to Exchange Control Approval and payment guidelines for foreign payments. The dividend will be paid by direct transfers or other approved forms as per the following timetable:
|1||Announcement Date||14 November 2019|
|2||Last Date to Trade Cum-Dividend||26 November 2019|
|3||Share Trade Ex-Dividend||27 November 2019|
|4||Last Record Date||29 November 2019|
|5||Payment Date||03 December 2019|
Shareholders are encouraged to update their payment details through our offices or our Transfer Secretaries, Corpserve, 2nd Floor, ZB Centre, Kwame Nkrumah Avenue, P. O. Box 2208, Harare, Zimbabwe.
By Order of the Board
13 November 2019