daniel chigunwe
Business Writer
Logistics company, Unifreight, is on track to meet its 2024 target of operating 100 cross-border assets, according to its half-year results for the period ending June 30, 2024.
This expansion is part of Unifreight’s strategic goal to boost capacity and solidify its market presence across the region.
Chairman, Peter Annesley, highlighted the company’s focus on expanding its footprint and increasing efficiency, especially in key sectors like tobacco, which saw a 43 percent rise in transported volumes compared to the previous year.
Partnerships with major clients such as Delta, Unilever and Nestlé have been instrumental in sustaining Unifreight’s growth.
Despite strong operational momentum, Unifreight has faced significant macroeconomic challenges.
Zimbabwe’s recent shift to the Zimbabwe Gold (ZiG), currency has disrupted liquidity and high inflation has further strained the cost structure.
“The volatility of the Zimbabwe Gold, coupled with restrictive monetary policies, has presented a challenging environment,” Annesley said.
“However, our prudent financial management and cost controls have kept us resilient.”
Financially, the company reported flat revenues of ZiG 164 million and a 12 percent increase in operating costs, driven by higher vehicle and depot-related expenses.
Profit before tax rose 11 percent year-on-year to ZiG 20 million, primarily due to a strong performance in tobacco logistics.
However, total comprehensive income fell 60 percent, attributed to a lack of asset revaluations.
No dividend was declared, but Unifreight remains cautiously optimistic about the remainder of 2024, focusing on cross-border expansion and exploring new revenue streams through a 4PL service model.
Bongani Ndlovu