Tanganda Tea Q1 revenue rises 5% as losses narrow on higher production volumes
Stronger tea volumes and stable macroeconomic conditions supported Tanganda Tea’s improved first-quarter performance.
ZIMBABWE – Tanganda Tea Company Limited has reported a positive start to its financial year, posting a 5% increase in first-quarter revenue to US$4.65 million, compared with US$4.44 million recorded in the same period last year.
The company also significantly reduced its pre-tax loss during the quarter, reporting a loss of US$538,497, an improvement from the US$853,917 loss posted in the prior year. Management said the result reflected improved operational efficiency across its core businesses.
“The operating environment during the period was characterized by macroeconomic stability, supported by tight monetary policy, low inflation and sustained foreign currency inflows,” the company said, adding that these conditions contributed to solid operational performance.
Bulk tea production volumes increased by 5% to 1,530 tonnes, driven largely by the early onset of seasonal rains. As a result, bulk tea export volumes rose by 3% to 1,170 tonnes during the quarter.
Packed tea sales delivered the strongest performance, with volumes surging 37% to 453 tonnes. The company said demand in this segment remained firm, supporting overall revenue growth.
Looking beyond tea, Tanganda noted that the avocado and macadamia harvest is expected to commence in the second quarter of the financial year, providing additional revenue streams.
The company also confirmed progress on its Renounceable Rights Offer aimed at raising US$8 million. “An Extraordinary General Meeting to consider and approve the transaction has been scheduled for 18 February 2026,” management said.
On the outlook, management said prospects remain cautiously positive, citing projected national economic growth of 6.6% and expectations that inflation will continue moderating under prudent fiscal policy.
However, the company warned that risks persist from climate variability, external shocks and structural constraints.
“Mitigating strategies have been implemented to address operational challenges and enhance business resilience,” Tanganda said.
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