Online Reporter
Business Reporter
OK Zimbabwe “will take some time to return to normal operations,” chairman Herbert Nkala has said, after the group reported a $25 million loss following a 52 percent drop in revenue for the year ended March 31, 2025.
Group revenue declined 52 percent to US$245 million compared to the prior year and against an average inflation rate of 15,21 percent.
Mr Nkala said “the decline is attributed to supply chain disruption, an unstable exchange rate—especially in the second half of the year—liquidity crunch in the economy, and heightened competition from the informal sector, compounded by exchange rate controls that distorted pricing.”
He added that supply chain disruptions were a result of the Group failing to settle suppliers’ accounts on time, leading to some withholding deliveries while others demanded payment upfront.
“These challenges resulted in the Group’s operational capacity being impacted negatively,” said Mr Nkala.
The Group has, however, started the process of restructuring for survival and growth.
However, though the recovery of the Group has started, “it will take some time to return to normal operations,” according to Mr Nkala.
