We have extracted the Chief Executive Officer’s Statement from the 2019 abridged report for Simbisa Brands Limited (SIM.zw), listed on the Zimbabwe Stock Exchange:
In the financial year ended 30 June 2019, economic challenges continued in our largest market, Zimbabwe. The environment was marked by hyper-inflation, shortage of foreign currency, acute power outages, price distortions, poor infrastructure service delivery and general economic uncertainty. Notwithstanding the announced fiscal and monetary interventions by the Government of Zimbabwe, the environment remains difficult. Management, with assistance from the Board, have proactively sought to manage these challenges, making bold decisions along the way. Despite these challenges, the Group has remained resilient and continues to pursue a growth strategy in all its markets.
GROUP PERFORMANCE OVERVIEW
Deteriorating economic conditions in Zimbabwe have resulted in erosion of consumer earnings which in turn have negatively impacted our sales volumes and