Africa-Press – Zimbabwe. BEVERAGE maker, Delta Corporation Limited (Delta) profit after tax (PAT) surged by nearly 83% to US$75,05 million for the six months ended September 30, 2025, largely driven by robust revenue growth of 32% and a sharp decline in exchange losses.
The increase in PAT is from a 2024 comparative of US$41,05 million.
Delta revenue for the half year was recorded at US$514 million, an increase of 32% compared to the prior year.
“The financial results are presented in the U.S. dollar currency, reflecting its pervasive use for transactions. Group revenue for the half year at US$514 million increased by 32% to compared to the prior year,” Delta chairman Todd Moyo said in a statement attached to Delta’s half year report ended September 30, 2025.
“This reflects the volume growth across the Zimbabwe business units and the inclusion of Schweppes (Schweppes Holdings Africa Limited) as a subsidiary.
“The revenue growth was weighed down by the price moderations in the sparkling beverages business, which partly absorbed the sugar tax to maintain volume and competitiveness.
“The proportion of domestic sales undertaken in foreign currency was 92% during the period under review.”
On April 1 this year, Delta acquired an additional 20% equity interest in Schweppes, increasing its total shareholding to 69% from 49%.
“As a result, Delta obtained control over Schweppes and began consolidating its financial results from that date,” Delta said.
“The acquisition will expand its product portfolio into high-growth beverage segments, unlock operational synergies, and enhance its competitive position in the Zimbabwean market.
“Prior to this transaction, Schweppes was accounted for as an associate using the equity method.”
In terms of revenue, lager beer volumes rose 21%, supported by stronger consumer incomes and stable pricing.
The sorghum beer category expanded 16%, buoyed by firm demand from mining communities and commercial agriculture, while sparkling beverages registered an 11% increase, reflecting modest recovery amid sugar tax pressures.
Delta subsidiary, African Distillers Limited, delivered the strongest outturn, with overall volumes up 43%—led by wine (59%), ready-to-drink beverages (47%) and spirits (36%).
The improvement in profit was also aided by a significant reduction in exchange losses, which fell sharply to US$516 000 from US$10,5 million in the prior period, reflecting a more stable currency environment and lower rate volatility.
Delta maintained a solid liquidity position during the half year, recording a current ratio of 1,54 times.
This indicates the group’s strong ability to meet short-term obligations, bolstered by an about 82% jump in cash and cash equivalents to US$50,34 million.
“Our business remains resilient and agile, with increased focus on cashflow and business liquidity management to navigate uncertainties and seize opportunities from increased consumer spending.
“To address emerging supply gaps, we are prioritising critical capacity investments, with a focus on accelerating project execution and optimising resource allocation,” Moyo said.
“We have initiated critical capacity expansion projects in order to meet the buoyant sales rates achieved during the current period.
“These include the Belmont brewhouse and packaging plant, clearing bottlenecks in brewing at Southerton Brewery.
“We are also addressing the capacity issues in the Maheu business and injecting glass bottles in both lagers and sparkling beverages.”
He said the lead times in commissioning these projects remained extended.
“The business remains focussed on seizing any opportunities from increased consumer spending and capitalising on activities that generate aggregate demand,” Moyo added.
Total assets expanded to US$572,11 million during the period, up nearly 28% from March, driven by higher investment in property, plant and equipment, and the consolidation of Schweppes.
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