Meikles Limited has demonstrated impressive resilience in Zimbabwe’s challenging economic environment, with a 101% surge in operating profit to ZWG 7.13 million in 2026, despite a 4% revenue decrease to ZWG 12.6 billion. The company’s core supermarket business, TM Pick n Pay, drove this recovery, contributing 98% of group revenue. Total assets decreased by 9% to ZWG 3.06 billion, and loss before tax narrowed by 12% to ZWG 147.09 million.
The company made notable strides in sustainability, reducing generator diesel consumption by 38% and water withdrawal by 2%. Employees received an average of 3 hours of training, and work-related injuries decreased by 82% to 45 incidents. Meikles is strengthening its retail business, expanding hospitality and real estate segments, and improving operational efficiency and sustainability.
Meikles plans to invest US$ 7.8 million in retail expansion, leveraging proceeds from the proposed sale of its Victoria Falls Hotel Partnership stake. This strategic move is expected to drive growth and enhance the company’s market position.
The repeal of Statutory Instrument 81A granted formal retailers relief, enhancing pricing flexibility and reducing exchange-rate distortions. However, consumer demand remained subdued due to tight disposable incomes. The informal sector remained active, offering stiff competition to formal retailers.
TM Pick n Pay’s supermarket segment delivered a strong turnaround, with USD-denominated sales jumping to 45% of total revenue, driving procurement efficiency and easing working-capital pressure. Gross profit margin rose from 23% to 28%, and the segment shifted from an operating loss to an operating profit of ZWG63.7 million.
The hospitality segment saw a 9% rise in average daily room rate, lifting Revenue per Available Room (RevPAR) by 8%. The Properties segment posted a 25% rise in USD revenue, driven by increased third-party rental income. The Security Services segment achieved 3% revenue growth in USD terms.
Given the Group’s recovery phase, the company decided not to declare a dividend for the year under review. Despite uncertainties, it remains confident that the Group is poised to enhance performance in the coming year.
