We have extracted the financial summary from the abridged report of Zambia Bata Shoe Company plc. listed on the Lusaka Securities Exchange under the share code BATA.zm. BATA is a manufacturer and marketer of smart and easygoing leather and plastic fashion items in Zambia.
The following is an excerpt from the abridged report;
The turnover for the year was K 153,803,812 which is an increase of 9 % against K 141,249,414 which was achieved the previous years. Profit before tax achieved was K 25,022,888, which is an increase of 49 % against K 16,738,834 achieved in 2017. These are impressive figures which really means the Zambian public are truly supporting us in a great way. On our part, we shall endeavour to do everything possible to take this Company to greater heights by ensuring that we capture the footwear market in this country.
In light of the Company performance this year and despite that we are going to open 3 new stores and renovate 10 stores which will all require financing, I am pleased to announce that the Board of Directors has recommended a dividend payment of K0.10 on each ordinary share (K 0.07 in 2017) held at close of business on 19 April 2019 being the record date. This represents an increase of 43% over last year, which for the first time, has now reached double digits.
Outlook for 2019
We are hopeful that 2019 macroeconomic stability will be sustained, aided by continued implementation of reforms towards the country’s economic growth. Downside risks are always pertinent and these include the recent trend in kwacha devaluation and raising oil prices. We are conscious of the effects of the proposed sales tax but the impacts at the moment are too soon to tell. Our focus will always remain to provide quality footwear at affordable prices. Given the general stability of the economy in the country we are confident that the future of your company looks bright. We are once again hopeful that our agricultural and mining sectors will perform well
this year and generate positive spin offs in the retail and wholesale sectors. Bata remain confident in our plans for another good year in 2019.