HARARE – OK Zimbabwe reported a 32% decline in volume in the third quarter to December – a historically busy period for retail, as customers continued to favour alternative retail channels in light of the exchange rate mismatch.
For the nine months volumes declined 28%. This decline was influenced by stringent supplier payment terms on Zimbabwean Dollar denominated purchases and credit limitations on foreign currency denominated purchases.
Group revenue for the quarter was 50% above last year in inflation-adjusted terms and grew by 535% in historical cost terms. For the nine (9) months ended 31 December 2023, revenue grew by 57% in inflation-adjusted terms and by 501% in historical cost terms.
The group acknowledged the adverse impact of the local currency depreciation against foreign currencies, leading to fluctuating prices that affected consumer demand and supply dynamics. Despite these challenges, OK Zimbabwe Limited remained committed to engaging with regulatory authorities to stabilize the macroeconomic environment and support sustainable growth in the formal retail sector.
