Online Reporter
Michael Tome, Business Reporter
DELTA Corporation’s revenue surged by 32 percent to US$514 million in the half-year to September 2025, driven by a stable operating environment and firm consumer demand across its product categories.
Zimbabwe’s macroeconomic landscape has stabilised significantly since the introduction of the ZiG in April 2024, replacing the inflation-weary Zimbabwe dollar. The combination of tight monetary and fiscal policies has resulted in a sustained decline in inflation and a more stable exchange rate.
ZiG monthly inflation has averaged 0.5 percent since February and is projected to close the year below 30 percent, while the parallel market exchange rate has dropped from over 100 percent early last year to less than 20 percent. The ZiG has held firm, with the exchange rate averaging ZiG26.7 to US$1 throughout the year, restoring pricing predictability and market confidence.
Delta said its revenue growth was underpinned by volume expansion and the consolidation of Schweppes as a subsidiary. The beverages giant noted that strong performance reflected robust demand across its portfolio, improved consumer spending power, and reduced pressure from informal imports due to tighter regulatory enforcement.
During the review period, lager beer volumes grew by 21 percent, supported by stable pricing and rising disposable incomes as farmers benefitted from a strong 2024/25 cropping season and notable gains in the gold sector. Sorghum beer volumes rose 16 percent, while African Distillers (Afdis) posted a 43 percent increase in volumes, driven by a 59 percent rise in wines, 47 percent in ready-to-drink beverages, and 36 percent in spirits. Sparkling beverages recorded more modest growth at 11 percent.
“The group benefited from a relatively stable operating environment during the half-year period under review. Consumer spending remained strong, driven by a stable ZiG exchange rate, a record-breaking tobacco marketing season, increased mining activities and firm mineral prices, particularly gold. Diaspora remittances are also benefiting from the strengthening of key source currencies such as the Rand and Pound,” said Delta Corporation chairman Mr Todd Moyo in a statement accompanying the half-year financials.
He added that trading margins improved on the back of lower cereal and packaging costs and higher production throughput, although these gains were partially offset by under-recovery related to the sugar tax.
Delta reported that 92 percent of domestic sales were conducted in foreign currency during the period, maintaining strong US dollar liquidity and supporting overall financial stability. Operating income rose by 54 percent to US$99.6 million, while profit before tax surged to US$104.8 million from US$55.8 million in the prior comparable period.
In its commentary, stockbroking firm IH Securities said Delta is well-positioned for further growth as the country heads into the festive season, traditionally the strongest period for beverage sales.
“Leading into the busy festive period, consumer spending is expected to remain resilient, supported by strong performances in artisanal mining and agriculture, as well as the 13th cheque, sustaining volume momentum through informal distribution channels. In our view, topline growth is expected to remain volume-driven in the short term, given the price sensitivity of the market amidst rising competition across all segments,” IH Securities said.
Delta’s strong first-half performance signals strengthening demand and reflects the broader stabilisation of Zimbabwe’s consumer market as the ZiG continues to anchor improved economic conditions.
Bongani Ndlovu