Delta Corp. Reports Impressive Profit Surge of 59.2% to US$100.5 Million

Delta Corporation Head Office in Borrowdale, Harare
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HARARE – Delta Corporation, Zimbabwe’s leading beverage manufacturer, has announced a significant surge in profit for the full year ending March 31, 2024.

The company reported a remarkable increase of 59.2%, with profits reaching US$100.5 million compared to US$63 million in the previous year. This substantial growth was driven by a substantial rise in revenue, which jumped by 43% to US$767.6 million.

Operating income for the fiscal year 2024 amounted to US$152.3 million, reflecting a substantial increase from US$99.7 million recorded in the same period the previous year. Furthermore, the earnings before interest, tax, depreciation, and amortization (EBITDA) surged to US$166.9 million, up from US$112.6 million in 2023.

Delta Corporation attributes this impressive financial performance primarily to record sales in the larger beer segment and significant growth across other key product lines. Lager beer remained the cornerstone of Delta’s revenue, contributing US$318 million in the fiscal year 2024, a 43% rise from the previous year.

The company witnessed remarkable growth in its sorghum beer business, with revenue increasing by 40% to US$250.8 million. This segment was buoyed by both local and international demand, with sorghum beer volumes increasing both domestically and in foreign markets such as Zambia and South Africa.

Sparkling beverages also saw substantial growth, with revenue increasing by 59% to US$146.7 million, and volume sales rising by 29% year-on-year. In the wines and spirits category, Delta recorded a 26% year-on-year increase in revenue, further solidifying its diversified portfolio.

Delta Corporation’s strategic investments in production capacity expansion projects across all product lines have played a significant role in driving volume growth and improving customer service. Cumulative investments over the past two years amount to approximately US$100 million.

The company’s associates, including Schweppes and AFDIS, reported positive volume gains, demonstrating Delta’s successful expansion into new markets and its ability to cater to diverse consumer preferences.

Despite the challenging economic environment, Delta Corporation has demonstrated resilience and adaptability, leveraging its strong brand portfolio and robust distribution network to achieve record financial results. – Herald