Vusumuzi Dube
Judith Phiri, Business Reporter
ZIMBABWE Stock Exchange (ZSE) listed tyres supplier, National Tyre Services Limited (NTS) new tyres sales volumes grew by 19 percent in the third quarter of 2023 when compared to the third quarter of 2022 as the company embarked on various marketing initiatives to improve sales.
In a trading update for the third quarter of 2023, the company secretary, Mr Stewart Mandimika said despite challenges in the operating environment, they recorded growth in new tyres sales volumes.
“NTS recorded 15 percent growth in new tyres sales volumes from April 2023 to December 2023 over prior year. New tyre sales volumes grew by 19 percent in third quarter of 2023, which was a sale of 10 528 when compared to the third quarter of 2022 where 8 847 new tyres were sold,” he said.
He said tyre services sales in units increased by 11 percent during the period under review when compared to the third quarter of 2022, while growth in tyre services was premised on increased volume of new tyres.
Mr Mandimika, however, said retreading volumes in the third quarter of 2023 slightly dropped by 2 percent when compared to the same period the prior year due to production disruptions caused by electricity challenges.
He added: “Year to date (YTD) December 2023, overall volume performance improved significantly by 20 percent compared to prior year, mainly supported by market driven procurement of tyres. The company is optimistic that the new regulations on tax introduced by the Government to enforce compliance will minimise unfair competition in the market.”
Mr Mandimika said NTS was focused on full business recovery premised on remodelling the business and continued implementation of a raft of cost-cutting measures introduced during the year.
Bongani Ndlovu