The Sunday Mail
TM Zimbabwe has resumed paying dividends to shareholders after recording a strong performance in the six months to August 29, 2021.
The retailer is 49 percent owned by Pick n Pay South Africa.
Announcing its financial results for the six months period, Pick n Pay SA Group said TM Zimbabwe delivered a “resilient trading and earnings performance.”
“The group’s share of TM’s earnings, before any hyperinflation net monetary adjustments, grew 91,2 percent year-on-year to R56,6 million,” said the group.
“The strong trading result reflects sustained market share gains and encouraging volume growth in the region, alongside disciplined cost and working capital management.
“The result was characterised by some moderation of inflationary pressures in the region, resulting in a non-cash R45,8 million net monetary loss on the revaluation of assets and liabilities, compared with a R31,8 million gain in the prior year.”
Pick n Pay SA said the Reserve Bank of Zimbabwe (RBZ) has forecast lower levels of inflation and greater levels of economic stability for the remainder of the year, underpinned by the support received from the International Monetary Fund (IMF).
“The group re-assessed the fair value of its investment in TM Supermarkets at R70,8 million, from R69,7 million at the end of FY21, recognising its strong underlying operating performance over the period, and the resumption of dividend payments, which have been successfully remitted to South Africa,” it said.
TM Zimbabwe opened its first Pick n Pay Express store in Harare this year, taking its store count to 62 (57 supermarkets and 5 liquor stores), with 29 stores trading under the Pick n Pay banner.