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Zambeef shares jump after confirming profit expectations beaten by 20%

3rd Jun 2021 13:27

(Alliance News) - Shares in Zambeef Products PLC jumped on Thursday after it confirmed annual adjusted pretax profit will be 20% to 30% ahead of current market expectations.

Shares were 12% higher at 7.51 pence on Thursday afternoon in London.

Zambeef supplies beef, chicken and dairy products across Southern and West Africa.

It also confirmed financial 2021 revenue would be in line with market expectations.

Revenue in financial 2020 was ZMW3.88 billion, the equivalent of around GBP124.6 million, while a pretax loss of ZMW22.7 million, or around GBP729,000, was posted. Zambeef's financial year ends September 30.

The company attributed its improved performance to successful cost-cutting measures, along with favourable weather conditions, resulting in improved production efficiencies. Zambeef did caution that rising inflation in Zambia could put pressure on consumer incomes and could lead to a reduced share of wallet going towards food spend.

Zambeef expects to announce its results for the half-year period ended March 31 in June.

By Will Paige; [email protected]

Copyright 2021 Alliance News Limited. All Rights Reserved.


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