FMCG giant, Innscor, posted a fair set of results as they

posted a basic eps of 1,21c per share and declared an

interim dividend of 0,4c per share. They turned over

$208,8m for the half, and at an operating margin of 9%,

they made an operating profit of $19,8m. After incurring

net interest expenses of $361,375, they made a pretax

profit of $16,1m and attributable earnings of $11,4m.

Their total assets grew from $182,8m to $205,1m as

current assets grew by $20m to $108,3m. NAV ended

the half 8% higher at $134,7m. As the group ended the

period cash positive at $15,9m after a $1,5m in cash,

they decided to declare the 0,4c per share interim

dividend.

Bakery. The Bulawayo line to be commissioned in April

should take their production up by 35k loaves/day while the

second Harare line to be commissioned in October should

up production by 50k loaves/day. Overall, these upgrades

should increase line capacity by 50% .

Retail. This was the most profitable division, contributing to

74% to PBT while SPAR volumes were up 49% h/h.

Milling and Manufacturing. Losses at National Foods, the

appliances division and snacks dragged them from

profitable territory despite making revenues of $43,2m.

Colcom. This division enjoyed a 44% increase in volumes,

turning over $20,9m and making PBT of $3,2m.

Irvines. The newly acquired (49% stake) poultry company

enjoyed 62% growth in chicken sales and a 74% increase in

egg sales.

Regional Operations. This division went against investor

concerns that they were the group’s haemorrhage and

found their Innscor Zambia division contributing 3% to PBT

and the regional fast foods division contributing 6%.

Overall, the division enjoyed a 10% volume growth.

Crocodile. A fair value loss of $1,3m emanating from

depressed market conditions saw them make a loss which

made them the worst performer in the period. They are

expected to cut their culling stock from averages of 60,000

to 42,000 this year as they aim to get larger skin sizes.