Harare, (New Ziana) – Turnall Holdings said on Tuesday it suffered an 82 percent dip in inflation adjusted net profit to $28.1 million for the half-year ended June 2020 owing to the outbreak of the Covid-19 pandemic.
In the comparable period last year, the Zimbabwe Stock Exchange listed
firm posted an after tax profit of $153.1 million.
In the period under review, revenue was down to $203 million from $291
million in the comparable period as both local sales and exports slumped.
“The company volumes for the first quarter were 45 percent above the
same period last year, but the second quarter volumes were 37 percent
below the same period last year owing to the Covid-19 lockdown
restrictions,” chairman Bothwell Nyajeka said.
Exports were down three percent, with no outside sales having been
made in the second half of the year due to the supply chain
disruptions and limited international logistics movement.
Turnall Holdings, a construction materials manufacturer, exports some
of its products such as tiles, pavers and pipes to countries in the
region, including South Africa.
The company opted not to declare a dividend in view of the need to
generate working capital.
Earnings per share were down to 5.74 cents from 31.14 cents in line
with the drop in profitability.
Nyajeka said in the second half of the year, the Covid-19 pandemic,
combined with the hyper inflationary environment would continue to
impact on sales, which however recovered in July and August.