Simbisa Brands FY2022 sales increased by 203% from year prior
Simbisa Brands, FY2022 earnings in ZWL increased by 277% from year prior, against an inflation rate of 192%.
In US$ terms FY2022 earnings were US$11.8m up from US$9.1m year prior and includes foreign exchange gains of US$11.5m which is up from US$4.1m in FY2021 and property fair value gains of US$0.9m up from nil in FY2021.
Highlights:
- Simbisa served 52 million customers and opened 86 new stores in FY2022
- FY2022 sales increased by 203% from year prior relative to an inflation rate of 192%.
- Operating margins declined to 6.8% from 9.5% year prior.
- Long-term debt/equity ratio of 78% and an interest cover of 9.1 times in FY2022.
- Management is positive as group continues its ongoing investment programme.
Investor Issues
Foreign exchange gains are important but are they sustainable.
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About the Author: Hartland-Peel Africa Equity Research
Sub-Saharan Africa ex SA: Equity, debt and FX research covering sixteen countries and advising institutional investors. Proprietary data base of sixteen African stock markets, 250+ companies which is one of the most extensive and complete. New issues, IPO’s and distribution of equity on privatisation. Development of lending and corporate finance opportunities for the bank, privatisation and asset management. An ‘A’ rated equity analyst by South African institutional investors as polled by the Financial Mail in 1998 and 1999.
