Blue Chip counters drive ZSE gains on Monday

Tapiwanashe Mangwiro 

On Monday, October 21, 2024, the Zimbabwe Stock Exchange (ZSE) All Share Index added 4.20 points, rising by 1,58 percent to close at 269.39 points, driven by gains in select counters.

CAFCA Limited (CAFCA.zw) led the pack, adding ZiG 160.0000c to close at ZiG 1560.0000c. ECONET Wireless Zimbabwe Limited (ECO.zw) gained ZiG 52.6880c to reach ZiG 496.6125c, while TSL Limited (TSL.zw) saw a gain of ZiG 30.0000c, closing at ZiG 280.0000c. First Mutual Holdings Limited (FML.zw) also posted a gain, adding ZiG 25.0000c to close at ZiG 430.0000c.

In the negative, SeedCo Limited (SEED.zw) shed ZiG 76.5809c to close at ZiG 458.1000c. ZIMRE Holdings Limited (ZIMR.zw) declined by ZiG 0.9999c, settling at ZWG 39.0010c. Willdale Limited (WILD.zw) lost ZiG 0.9400c to finish at ZiG 4.5000c and Star Africa Corporation Limited (SACL.zw) dropped by ZiG 0.2755c, closing at ZiG 2.0117c.

RioZim Limited released its half-year results for the period ending June 30, 2024, showing a challenging performance. Revenue declined by 19 percent to US$282,53 million, while gross profit dropped sharply by 72 percent to US$3,89 million. he operating loss widened by 28 percent to US$159,42 million, and the company posted a loss before tax of US$169,17 million.

The loss for the period stood at US$165,71 million, with no dividend declared, reflecting the tough operating environment.

Tigere Real Estate Investment Trust (Tigere REIT) reported a strong Q1 trading update for the quarter ending September 30, 2024. Net property income increased by 2 percent to US$1,31 million, while total comprehensive income surged by 6 percent to US$854 413.

The occupancy level remained at 100 percent, with the average rent per square meter rising by 8 percent to US$19.24. The REIT declared a dividend of US0.03476 cents per share, underscoring its solid performance in the real estate sector.

The market’s upward momentum was largely buoyed by gains in blue-chip counters, signaling continued investor confidence in key sectors. However, the mixed performance, with significant losses from companies like RioZim and SeedCo, reflects ongoing challenges in the broader economy.