Zimplow narrows half-year loss

Tapiwanashe Mangwiro

Zimplow Holdings Limited has trimmed its half-year losses, buoyed by a rebound in agriculture, tighter cost management, and ongoing restructuring across its business units.

The industrial and agricultural equipment group reported a loss before tax of US$718 499 for the six months ended June 30, 2025, a 37 percent improvement from the prior year loss of US$1,14 million.

Chairman Mr Benjamin Kumalo said the improvement reflected a turnaround in the group’s agriculture-linked operations, which benefitted from the better 2024/25 cropping season.

“The agriculture-related business units demonstrated a marked improvement, with a 59 percent loss reduction compared to prior year,” he said in a statement accompanying the results.

“This was on the back of a recovery in crop output and disposable incomes.”
Mr Kumalo said Zimplow’s management continued to prioritise rationalisation and cost discipline, including the disposal of obsolete equipment and non-core assets.

“The board oversaw a balance sheet preservation exercise that entailed the disposal of antiquated equipment and continued focus on the disposal of non-core assets,” he explained.

“Proceeds from these disposals are earmarked for capital expenditure, particularly the Msasa property development project.”

The company’s goal, he added, was to establish a world-class one-stop mining and logistics hub at Msasa, providing integrated service, parts, and whole-goods solutions under one roof.

Zimplow also confirmed the appointment of Willem Swan as group chief executive officer, following his tenure as acting head since April 2024. Mr Swan succeeds Mr Grant Pio, who stepped down as a non-executive director earlier this year.

Farmec, one of Zimplow’s flagship units, led the recovery with revenue up 17 percent year on year, driven by a surge in tractor and implement sales, 89 percent and 9 percent, respectively. “Strategic focus on supplier pricing, supplier relationships and supply chain efficiencies ensured better margins,” said Mr Swan.