African Distillers posts 51% income growth to US$7.7M as revenue surges 56%

ZIMBABWE – African Distillers Limited (Afdis), a leading Zimbabwean beverage manufacturer, has reported a 51 percent increase in total income to US$7.7 million for the year ended March 31, 2026, supported by a sharp rise in revenue and stronger consumer demand across its product categories. 

The company said revenue grew by 56 percent during the period, driven by improved product availability, reduced pressure from illicit alcohol trade, and sustained consumer demand in key markets. 

Operating income more than doubled to US$12.2 million, up from US$5.6 million in the previous year, contributing to the strong performance in overall profitability. Basic earnings per share rose to US$6.31 from US$4.26 in the prior year. 

Afdis also reported a 50 percent increase in total volumes, reflecting broad-based growth across its Ready-to-Drink (RTD), wine and spirits segments. 

RTD products recorded the strongest performance, rising 62 percent, followed by wines at 57 percent and spirits at 34 percent. 

Chairman Mr Mthandazo Valela said the company operated in a more stable macroeconomic environment, supported by tighter monetary policy and improved economic predictability. 

“The prevailing tight monetary policy framework continued to underpin macroeconomic stability and supported improved business planning and execution,” Valela said. 

He added that strong activity in agriculture and mining, including record tobacco output and robust gold production, helped strengthen foreign currency inflows and boost overall economic demand. 

“The business delivered a strong performance, benefiting from firm consumer demand and improved product availability,” he said, adding that authorities’ efforts against illicit trade were also welcomed by the company. 

“The company acknowledges and values the actions being taken by authorities and regulatory bodies against illicit trade,” Valela said. 

The results highlight continued resilience in Zimbabwe’s formal manufacturing sector, particularly among companies able to secure foreign currency, sustain production, and compete against informal market pressures. 

Afdis contributed US$28.6 million in taxes during the reporting period, representing a 42 percent increase from the previous year. 

The group also increased capital investment to US$4.4 million, up from US$1.8 million previously, focusing on plant modernization and efficiency improvements. 

Management said these investments aim to enhance production reliability, increase throughput, and improve operational efficiency across its manufacturing network. 

The company is also progressing with an US$8 million packaging line investment expected to be commissioned in the next financial year, which is anticipated to expand capacity and reduce production bottlenecks in high-growth categories. 

Looking ahead, Afdis said it will continue prioritizing product innovation, capacity expansion and market development while monitoring global geopolitical tensions that could affect input and fuel costs. 

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