Zimbabwe sugar industry rebounds in 2026, Hippo Valley Estates reports strong revenue and profit growth

ZIMBABWE – Zimbabwe’s sugar industry recorded strong growth during the year ended March 31, 2026, with total sugar sales increasing 24% to 472,000 tonnes from 381,000 tonnes in the previous year, driven by higher domestic demand and a sharp increase in export volumes.  

According to Hippo Valley Estates Limited’s financial results, the company contributed 234,975 tonnes, representing 49.8% of total industry sugar sales during the period. 

The domestic market remained the industry’s largest outlet, accounting for 80% of total sugar sales, while exports represented the remaining 20%.  

Local sugar sales rose 12% from 337,228 tonnes in 2025 to 379,319 tonnes in 2026. Export volumes recorded even stronger growth, surging 114% from 43,303 tonnes to 92,518 tonnes over the same period. 

Hippo Valley Estates Chairman Canaan Dube said the company continued to strengthen its performance despite operating in a challenging business environment. 

“This was reinforced by sound decisions and navigating challenges more constructively. The board and management will continue to foster employee empowerment to drive resilience, trust and sustainable long-term business success,” he said. 

The company’s financial performance reflected the improved market conditions and stronger sales volumes. Revenue increased 15% from US$192 million in 2025 to US$221 million in 2026, while operating profit climbed 337% from US$8 million to US$34 million.  

Profit for the year rose 79% to US$24 million, compared with US$13 million in the previous year. Adjusted EBITDA also more than doubled, increasing 131% from US$14 million to US$32 million. 

According to the financial report, the positive results were supported by exchange rate stability, stronger household incomes and favourable weather conditions. 

“Consumer spending was strong with household incomes having improved from the prior year. The climatic conditions were favourable, resulting in the right water levels in our supplying dams to support three seasons,” the report stated. 

The combined sugarcane area under Hippo Valley Estates and private growers expanded 3% from 22,602 hectares to 23,255 hectares. Private farmers increased cane deliveries by 8%, continuing a multi-year trend of supplying a larger share of cane processed by the mill.  

The manufacturing division also increased sugar production by 1%, while improving energy efficiency by using bagasse to reduce coal consumption and export electricity to the national grid. 

Chief Executive Officer Tendai Masawi said the company’s performance coincided with an important milestone. 

“After successfully achieving our operational goals in agriculture, manufacturing, commercial and other support services, the business celebrates its 70th anniversary with a positive outturn,” he said. 

Looking ahead, Hippo Valley Estates said it remains cautiously optimistic, citing improving macroeconomic stability while continuing to invest in cane yields, power generation, water infrastructure and plant maintenance.  

The board also declared a dividend of US1.50 cents per share for the year ended March 31, 2026. 

Sign up HERE to receive our email newsletters with the latest news and insights from Africa and around the world, and follow us on our WhatsApp channel for updates.