Zambia Sugar Plc’s 2023 Abridged Report Reveals 14% Revenue Growth

Published On: November 13, 2023Company: Zambia Sugar Plc (
What is the key takeaway from Zambia Sugar Plc's 2023 Abridged Report?
The key takeaway from Zambia Sugar Plc's 2023 Abridged Report is that the company experienced growth in its total revenue by 14%, boosted by an increase in selling prices and export sales. Despite facing some significant challenges, like an influx of illegal imports negatively affecting domestic sales, and surges in key input costs, the company demonstrated resilience by managing costs well and paying off long-term debt, thus improving its financial stability. However, the increments in effective tax rate led to a decrease in both the annual profit after taxes and headline earnings.


  • Total revenue for Zambia Sugar Plc in the year ended 31 August 2023 grew by 14% to K5.827 billion,
  • The elevated revenue was largely due to a 12% improvement in the weighted average selling price for both domestic and export sales,
  • Sales to the export market specifically increased by 28%, driven by strong regional demand, effective logistics management, and stock availability,
  • Domestic sales were affected negatively due to the influx of illegal imports and lower disposable income among rural households, but the company could recover some market share by executing promotional activities and an intense advertising campaign,
  • Operating profit for the year was K1.248 billion, up slightly from K1.243 billion in the previous year,
  • The improved performance can be attributed to enhanced price realisation and cost management, despite the significant rise in key input costs,
  • Finance costs decreased by K35 million to K40 million, resulting in an improved interest cover ratio, and the company was able to close with a positive cash position after paying off long-term debt,
  • After-tax profit decreased by K70 million to K935 million due to a 3% increase in the effective tax rate,
  • Headline earnings also decreased from the previous year of K1 005 million to K935 million, leading to a decrease in earnings per share by 7%,
  • The Board recommended a total dividend of 349 ngwee per share, amounting to K1 104 million. This comprises of a base dividend and a special dividend, conforming to the company’s policy of distributing up to 50% of free cash flow.

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About Zambia Sugar Plc (

Zambia Sugar Plc is one of the largest producers of sugar in the Southern African region. The company is listed on the Lusaka Securities Exchange, providing a platform for investors to access the African sugar market. Zambia Sugar Plc has developed innovative production processes that have positioned it as an industry leader, with a wide product portfolio including a range of by-products. Currently, the company is focusing on expanding its operations across the African continent to meet growing demand.

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