ZAMBEEF | FY2019 Results Presentation
December 12th, 2019
Outlook & Strategic focus
Macro-Economic factors
- Zambia’s GDP is forecast to grow by 3% in 2020 (Target 2% end 2019)
- Electricity constraints
– Supply (Hydro-electricity reliance, Regional drought)
– Tariff increase to cost-reflective rates expected - Zambian Kwacha further sharp depreciation
– BOP
– External debt - Escalation in interest and inflation rates
Climate
- Average summer rainfall season predicted (Improved power & reduced Maize prices expected from mid 2020)
Strategy
De-Risking the business;
- Consistent revenue growth through expansion of our retail network
- Continued capital investment in the best performing areas of the business;
- Cash generation through improved margins, cost control, working capital management and prudent capital expenditure;
- Continued divestment of non-core assets; and
- Environmental and food safety improvement projects.
