Online Reporter
Nelson Gahadza, Zimpapers Business Hub
EDGARS Stores Limited has reported a 3,2 percent increase in sales volumes to 877 411 units for the half-year period ending July, 6 2025, compared to the same period last year. The growth was driven by improved performance across its retail chains.
Group Chief Executive Officer, Mr Saviours Mushosho, in a trading update for the review period, noted that the flagship Edgars Stores contributed two percent to the growth, while Express and Jet accounted for one percent and 0,28 percent, respectively.
“Margins improved by 1,1 percent during the period, supported by a 50 percent reduction in markdowns and smart procurement strategies focused on sourcing high-quality merchandise at competitive. Management continues to prioritise fresher, high-quality and competitively priced merchandise in-store prices,” said Mr Mushosho.
Mr Mushosho said the group’s segmented retail propositions are under continuous review to ensure they effectively meet customer needs.
Opportunities have been identified to improve merchandise execution and explore emerging market trends.
“Smart procurement and optimal inventory planning remain key focus areas, to ensure a merchandise cycle that delivers target margins without compromising quality. Flexible credit offerings will also be maintained to stimulate spending,” he said.
He also highlighted plans to retool the manufacturing division, Carousel, to increase production and improve operational efficiency in support of the retail chains. The group also intends to expand its geographic footprint by opening new stores in strategic locations.
Three new Express Stores were added during the review period, with seven more targeted before the end of the FY2025 financial year.
“The business will continue investing in backup solar power to reduce operational costs, improve system uptime and enhance the customer experience,” said Mr Mushosho.
Revenues for the Edgars Chain rose by three percent to US$7,9 million in the first half of the year, reversing a six percent decline recorded during the same period last year.
However, sales volumes dipped by one percent, from 375 099 units to 371 368 units.
“The sales mix between credit and cash remained relatively stable, with credit sales contributing 64 percent, up from 63 percent in 2024, and cash sales accounting for 36 percent,” said Mr Mushosho.
At Jet Stores, revenues remained flat at US$5,87 million, a marginal 0,1 percent increase from US$5,86 million in 2024. Unit sales declined by 0,6 percent, from 474 627 units to 471 791 units.
“The sales mix remained unchanged at 64 percent credit and 36 percent cash. We also opened Jet Shurugwi during the period,” he said.
Mr Mushosho noted that revenues for the Express Chain remain relatively immaterial, but the brand continues to serve as the group’s market expansion vehicle.
“In November 2024, we opened four stores, ending the year with six. In the first half of 2025, we added three more — Rusape, Tynwald and Robert Mugabe — bringing the total to nine. Express targets the low-income segment and operates on a cash-only basis,” he said.
Carousel manufacturing output increased by 40 percent, from 132 000 units last year to 185 000 units in the review period. The factory continues to implement cost-optimisation strategies through the adoption of efficient production processes.
Mr Mushosho said the US$345 000 investment in a cutting room solution — funded through the Reserve Bank of Zimbabwe’s Targeted Finance Facility (TFF) — will further enhance productivity.
“This investment aligns with our retail strategy by ensuring the delivery of quality products at competitive prices. We appreciate the central bank’s efforts to support productive sectors,” he said.
The group’s financial services division reported a debtors’ book of US$10,4 million for the half year, with collections exceeding credit sales growth. Collection rates stood at 26,8 percent, in line with expectations.
