Online Reporter
Nqobile Bhebhe
Zimpapers Business Hub
Diversified agro-industrial concern, Ariston Holdings Limited, remains confident of its long-term viability despite ongoing financial and operational headwinds, with its board affirming the group’s status as a going concern.
The assurance follows a comprehensive review by the Board of Directors of the Group’s financial position and performance for the half year ended March 31, 2025, which revealed narrowing of losses and a shift toward longer-term financial sustainability.
“The Directors have undertaken a detailed review of the going concern status of the Group and are satisfied that the Group has adequate resources to continue operating for the foreseeable future,” the firm said.
This confidence stems from improved financial metrics, recent funding inflows and ongoing operational rationalisation efforts.
Ariston reported a loss of US$1,437,871 for the six-month period, reflecting a 32 percent improvement from the previous year’s loss of US$2,101,228.
Revenue came in at US$1,991,087, representing an 18 percent decline from the same period last year, largely driven by a fall in local tea sales volumes.
However, a 24 percent reduction in production costs cushioned the revenue slide, helping limit the group’s gross loss to US$441 078.
While the Group’s current liabilities exceeded current assets by US$930 572, this was attributed to an ongoing transition from short-term borrowing to long-term debt.
As part of this restructuring, Ariston secured US$3 million in funding, broken down into US$1 million for capital expenditure and US$2 million for working capital.
“This will afford the Group sufficient time to stabilise operations, improve liquidity, and return to profitability,” said the company in a statement accompanying its results for the half year ended March 31, 2025.
Online Reporter