Tapiwanashe Mangwiro
The Zimbabwe Stock Exchange (ZSE) witnessed a slight downturn as the All Share Index dropped by 1.43 points, or 0.51 percent, to settle at 279.29 points. Several stocks traded in the red, leading to the index’s downward movement.
Leading the losers was Hippo Valley Estates Limited, which fell by ZiG 91.6667c, closing at ZiG 800.0000c. The decline was echoed by Tanganda Tea Company Limited (TANG.zw), which lost ZiG 37.5661c to end at ZiG 421.4239c.
Major telecommunications player, Econet Wireless Limited, also experienced a downturn, shedding ZiG 11.3619c to close at ZiG 427.3763c. British American Tobacco Limited was among the prominent stocks that weakened, with a drop of ZiG 5.0000c to ZiG 11995.0000c, while beverages giant Delta Corporation Limited decreased by ZiG 1.4499c to close at ZiG 1942.6048c. These declines contributed significantly to the day’s weaker market performance.
On the positive side, CFI Holdings Limited gained ZiG 48.5500c, ending the day at ZiG 372.2500c, driven by positive investor sentiment. Proplastics Limited added ZiG 15.0000c to close at ZiG 190.0000c, and Star Africa Corporation Limited traded slightly higher, advancing by ZiG 0.0154c to close at ZiG 2.1164c.
These gains were insufficient to counter the broader market losses, but they showed some pockets of investor optimism.
In corporate news, Edgars implemented aggressive strategies to boost profitability through optimized procurement and increased manufacturing volumes at its Carousel facility.
Efforts to enhance cost control and maintain high-quality inventory amid a challenging supply chain landscape paid off, as profit before tax surged 169,6 percent to US$0.16 million over a six-month period, compared to a loss of US$0.23 million a year earlier.
Despite a significant drop in basic earnings per share from 0.35 cents in 2023 to 0.06 cents this period, Edgars achieved a substantial 52,4 percent reduction in finance costs due to lower lending rates and a shift to USD-denominated borrowings, reflecting effective financial management.
Overall, Thursday’s trading showed mixed sentiments, with dominant losses in blue-chip stocks but gains in select mid-tier counters. Edgars’ strong performance illustrates the benefits of strategic management, even as the market grapples with wider economic challenges.
