Amalgamated Regional Trading (ART) Holdings Limited delivered a more resilient performance for the half year ended 31 March 2026, posting higher revenue, stronger margins, and improved balance sheet stability despite ongoing market headwinds across Zimbabwe and Zambia.
In results released by the company, the Group said its focus during the period remained on cash preservation, productivity gains, and positioning established brands to deliver better returns over the longer term.
Operating conditions stayed difficult across key markets. In Zimbabwe, exchange rate and inflation trends were more stable than in prior periods, which aided planning. However, liquidity constraints, high utility costs, elevated borrowing rates, and intermittent power supply continued to weigh on costs, output, and profitability. The Stationery and Battery divisions faced intensified competition from imported and counterfeit goods, while subdued consumer spending dampened demand in several categories.
Zambia showed signs of gradual recovery following policy reforms and improved electricity supply compared with previous load-shedding challenges. Still, the battery market stayed highly competitive and customer liquidity issues affected sales and collections.
Despite these pressures, ART’s core brands retained strong recognition and market presence in the region.
Group revenue rose 6% to USD 14.28 million from USD 13.53 million in the prior half, with overall sales volumes up 5%. Gross profit margin strengthened to 35% as fixed overhead reduction measures gained traction. Underlying profitability improved before accounting for disposal and transition costs.
The Group reported a pre-tax loss of USD 0.28 million after recognising a USD 0.47 million loss on the disposal of the discontinued Mutare Mill properties. The company described the sale as part of a broader effort to reduce legacy liabilities. While it weighed on short-term earnings, the disposal improved liquidity and reduced ongoing holding and maintenance costs.
After tax, the Group recorded a profit of USD 0.43 million compared with USD 0.38 million in the prior period. Earnings per share, basic and diluted, were 0.09 cents versus 0.08 cents previously.
