Delta on verge of history

capitalisation when it hits US84,6c per share. Yesterday, Delta traded at US82c.

After the close of trade, Delta’s market capitalisation stood at US$968 921 032 which is 23,16 percent of the total value of the ZSE listed counters.
Econet Wireless is second with a market value of US$477 751 235 or 11,42 percent.

Delta’s shares price has not moved since Wednesday last week, despite posting strong earnings for the 12 months to March 31.
It achieved US$54 million in profits, making it the second most profitable company after Econet.

Revenues came in at US$481 million on increased volume momentum of 2010.
Earning per share for the group increased 42 percent to US4,50c, following significant expansion of the beverages production portfolio through the launch of new brands and packs.

Delta’s share price has traded in the US40c and US50c range for the better part of the last two years.
Operating income for the group during the period increased 76 percent to US$68,2 million and earnings before interest, tax, depreciation and amortisation was 67 percent up to US$81,7 million.

Delta plans to spend US$14 million in building a new carbonated beverages plant by the end of July.
The 42 000-bottle-an-hour plant, to be installed by Germany’s Krones AG, will ease tight capacity in Zimbabwe’s sparkling drinks market.

Sales of sparkling beverages, including Coca-Cola brands, jumped 53 percent during the 12 months to March 31.
The company, in which SABMiller has a 37 percent stake, also plans to order a new lager plant in the next few months.

The beverages’ giant will spend about US$200 million on capital projects by the end of 2012, which should translate to increased production levels across its core beverages business.
Meanwhile, the ZSE opened the week firmer, driven by gains in stocks across the board. The industrial index rose 0,21 percent or 0,34 points to 163,63 points.

DZLH gained US1,35c to US22,50c. The company announced last week that production at its Harare factory had been affected after an electricity fault occurred at a Zesa sub-station. This forced the company to suspend production and supply of refrigerated products.

M&R and PPC advanced US1c each to US18c and US315c respectively.
Innscor, the third largest company by market cap, was US0,9c firmer at US62c, OK rose US0,50c to US9c and Padenga gained US0,5c to US5,50c.

Shares of the crocodile firm, with three farms in Kariba, which supplies about 33 percent of the world’s demand for large, high quality crocodile skins, were listed on November 19 last year at US5c.
On the downward side was Econet which dropped US5c to US500c, Seed Co was down US3c cents to US135c while TA lost US2, 19c to US14c. Colcom and Meikles both dropped US1c each to close at US41c.

The mining index was on a rebound on RioZim recovery. The mining index closed higher at 194,17 points after gaining 1,85 percent.
RioZim gained US5c to US145c while Bindura rose US1,20c to US7,20c.