Chronicle Editor
Sikhulekelani Moyo, [email protected]
TRANSPORT and logistics company Unifreight Africa’s volumes for the first quarter ended 31 March 2024 increased by 58 percent spurred by fleet expansion and increased capacity.
In a statement accompanying the group’s trading update for the period, group chief executive officer, Mr Richard Clarke, said aggressive marketing efforts within the Full Truck Load (FTL) market segment have paid off, despite a 17 percent reduction in total yield per kilometer due to the nature of the segment. He said the reduction was offset by the increased volumes being moved.
“We have witnessed a substantial increase in Q1 volumes, up by 58 percent from the prior year, which itself was up by 135 percent from the year before.
“This consistent growth is a testament to our strategic fleet expansion and increased capacities,” said Mr Clarke.
He said total revenue contributions have shifted from Less Than Load (LTL) towards FTL, with FTL’s contribution increasing from 29 percent in 2023 to 41 percent in 2024.
“Tobacco continues to be a key revenue driver. Most major merchants have chosen Swift for the safe and reliable transportation of their tobacco from the regional floors to Harare,” said Mr Clarke.
“Despite a smaller tobacco crop trending towards 220m kilograms for the season, we anticipate moving over 30 percent more volume from this sector after securing additional merchants in 2024.”
Despite challenges being faced in the local market Mr Clarke said the company remains optimistic that financial year 24 will yield positive results and they are on track to achieve budget.
“So far, Unifreight has made over Zig13 million for Q1. The board, executive and management are focusing on delivering positive results and protecting shareholder value,” he said.
-@SikhulekelaniM1
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