CAFCA Limited Achieves Impressive 117% Growth in Inflation-Adjusted Turnover

Published On: November 29, 2023Company: CAFCA Limited (CAFCA.zw)
What contributed to significant growth in CAFCA's inflation-adjusted turnover from 2022 to 2023?
The major factors contributing to the significant growth in CAFCA’s inflation-adjusted turnover were volatile exchange rates, changes in sales mix, and copper price movements.

Summary

  • CAFCA managed to fulfil all orders in the year thanks to their finished goods stock holding and short production lead times.
  • The volume of sales remained similar to the previous year, but copper cable sales saw an increase of 9%.
  • Inflation-adjusted turnover significantly grew from $75.0 billion in 2022 to $164.0 billion in 2023, influenced by volatile exchange rates, sales mix changes, and copper price movements.
  • The inflation-adjusted after-tax profit of $51.3 billion was nearly identical to the historical cost after-tax profit of $50.8 billion.
  • Earnings per share increased dramatically, fueling an increased dividend of 204% year on year.
  • The dividend payable on 15th December 2023 amounted to 7.90 cents per share.
  • CAFCA’s Special strategy includes expanding its export footprint, enhancing the Utility business domestically, acquiring more Mining sector customers, and launching an increased solar cable offering.

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About CAFCA Limited (CAFCA.zw)

CAFCA manufactures and supplies cable and allied products for the transmission and distribution of electrical energy and telecommunication. Its primary market is Southern and Central Africa, although it has an export footprint that extends to parts of Europe, including Russia. The company prides itself in manufacturing over 900 cabling products to British, South African and Zimbabwe quality standards, including 11KV XLPE cables. CAFCA Limited recovers decommissioned cables for recycling; and supplies telecommunication cable ranging from indoor cable to underground cable and aerial self-supporting cable. Established in 1947, CAFCA is a subsidiary of CBi Electric African Cables (South Africa) which is owned by Reunert Limited (South Africa). CAFCA listed on the Zimbabwe Stock Exchange; Johannesburg Stock Exchange and London Stock Exchange

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