1. High inflationary conditions, shortages of foreign exchange, severe erosion of consumer disposable incomes persisted in the 1st Quarter.
  2. Units sold were 68% down on the similar period in the prior year.
  3. A monthly interest charge on the 6 month book was introduced with effect from 1 September 2019. Monthly interest rates on the 12 month book were increased in line with increased lending rates in the economy.
  4. Key Trading Expenses as a % of Turnover in nominal terms

1st Quarter
1st Quarter
Employment costs22.6%22.7%
Occupancy costs12.3%14.2%
Transport and Distribution costs6.5%3.2%
IT Costs2.4%1.4%
  1. In nominal terms, the quarter was profitable, with an improvement in margins.


The business has entered the traditionally busy Christmas period and is adequately stocked for the anticipated levels of trading. In the medium-term, Management will focus on product availability and affordability with emphasis on in-house manufacture especially where fabrics are sourced locally with no direct foreign exchange input.

By Order of the Board

B. M. Chibanda
Company Secretary