Axia Corporation Limited, the country’s distributor of household goods and appliances, says the first quarter volumes at TV Sales & Home closed 48% higher than the comparative quarter which led to significant growth in turnover.
The Group operated in an inflationary trading environment which continued into the first quarter thus having a positive impact on operating costs.
In a trading update, the company secretary said transacting in foreign currency has helped mitigate liquidity constraints somewhat.
“First quarter volumes at TV Sales & Home closed 48% higher than the comparative quarter which led to significant growth in turnover,” reads the trading update.
Volumes traded by Distribution Group Africa Zimbabwe operations in F2021 were similar to those achieved in the comparative period and were 52% above those recorded for the final quarter of F2020.
“In Zambia, first-quarter volumes were 5% above those attained in the comparative quarter whereas, in Malawi, first-quarter volumes went down 17% compared to the comparative quarter but were 41% above those achieved in the final quarter of F2020.
“The decline in volumes is primarily a result of grey products coming into the market at cheap prices, “reads the update.
Transerv also witnessed a decent increase in volumes over the comparative quarter.
“The growth in volumes has been a result of prices that were relatively stable during the quarter, “reads the company trading update.
The Group says it will continue to explore ways to increase working capital funding in order to match the increased level of business activity.
Kundai Mudzviti – Business Mail