In a year marked by harsh climatic disruptions, currency devaluation, and regulatory uncertainty across Africa, Seed Co Limited has proven the power of strategic resilience and visionary leadership. The audited full-year results for the period ending 31 March 2025 reveal a robust rebound, underpinned by strong revenue growth, infrastructure expansion, and an unrelenting focus on innovation and market penetration, particularly in Zimbabwe and key regional markets.
Seed Co posted an impressive 93% revenue growth to USD 71.2 million, a leap largely driven by thriving maize seed sales and a resurgence in open market and export performance. Maize alone accounted for 68% of revenue, while export markets contributed USD 12.7 million and open market sales added USD 23.5 million, collectively making up more than half the company’s income. The Group’s net profit after tax climbed to USD 17.5 million, supported by increased volumes, royalty income, and favourable foreign exchange gains from the recent currency transition to the ZiG.
In Zimbabwe, Seed Co experienced a 52% volume growth, reflecting both a loyal domestic market and a revival in regional exports. The company expanded its physical footprint through 21 proprietary points of sale, a new retail shop in Kwekwe, four container outlets, and strategic tills in major retail chains. These moves reflect a dynamic response to the increased informalisation of trade and the decline of the formal retail sector. Even in a tough economy with escalating USD-denominated costs, the business grew public and open market share, securing its anchor role in national food security.
Beyond sales, the company is intensifying investments in technology and infrastructure to insulate itself from climate shocks. A colour sorter was deployed in Zimbabwe while the Zambia operation commissioned a new warehouse, establishing a regional hub for processing and logistics. These milestones form part of a broader strategy that includes modular seed drying systems, mechanised cleaning, and enhanced production partnerships with financial institutions and growers.
Still, the journey was not without headwinds. Climate change-induced droughts and delayed rains constrained production and led to stockouts in several regional markets including Malawi, Tanzania, and Zambia. Meanwhile, Mozambique’s political unrest, Kenya’s rainfall challenges, and tightening currency controls in Zimbabwe strained operational liquidity. However, Seed Co’s regional operations, despite a 9% drop in overall sales, demonstrated resilience. Debut sales in Ethiopia and volume growth in Tanzania and Malawi signalled strategic breakthroughs and potential for future expansion.
On the financial front, Seed Co maintained a strong balance sheet, with close to 100 hectares of land in Mt Hampden and significant investments in research assets. Group receivables rose to USD 52 million due to delayed government payments, while borrowings increased modestly to bridge the seasonal funding gap. Despite these pressures, Seed Co sustained dividends, reflecting growing investor confidence and prudent financial stewardship.
The Group’s key associate, Seed Co International, also delivered a 15% growth in profit after tax, despite a 9% dip in volume and once-off losses related to associate dilution. The international arm achieved a 50% gross margin, up from 47%, driven by a better product mix and improved pricing. Capex grew significantly, with strategic investments in Zambia’s expanded storage and Tanzania’s ongoing plant and office park.
Looking ahead, Seed Co is positioning itself to capitalise on its proprietary intellectual property, built over 85 years, and a trusted brand that resonates across African markets. As climate risks intensify and elections reshape market dynamics in countries like Malawi and Tanzania, the Group plans to scale activities in Ethiopia and Angola while continuing to push exports from Zimbabwe to meet regional food deficits exacerbated by El Niño.
In a continent facing unprecedented agricultural and economic challenges, Seed Co’s 2024/25 performance offers a masterclass in adaptation, agility, and ambition, a bold testament to how Africa’s seed industry can lead from the front, sowing innovation and harvesting resilience.
