Ariston Holdings’ revenue for the nine months period to 30 June 2020, rose 15 percent in inflation adjusted terms compared to the prior comparative period.

The export-oriented company’s revenue have remained United States dollar-denominated despite a change of functional currency to the Zimbabwe dollar last June.

The group managed to boost revenues within the context of the coronavirus (Covid-19) pandemic as production levels for some of its products improved, while others waned.

In a trading update for the period under review, Ariston said its tea production volumes exceeded prior comparable period, despite a decline in overall macadamia yields in the current year compared to the previous two comparative periods, improvement in quality resulted in improved selling prices.

The fruit category (bananas, pome fruit and stone fruit) reflected a decline against the 2019 comparative period arising from lower banana production which declined from 924 tons in 2019 to 661 tons in the current period.

And the poultry segment also performed poorly during the quarter.

Reported management:

“Poultry is grown on an out-grower model for the largest poultry producer in Zimbabwe.

“The declining production volumes
are indicative of the disposable income constraints and the impact of the national lockdown in response to Covid-19 in current year which have reduced customer purchases necessitating reductions in placements in response to anticipated demand.”

The maize category – commercial maize and seed maize – improved from no production at all over the last couple of years.

“The total harvest from the crop improved on both 2019 and 2018.

“The reason for a nil tonnage for 2019 and 2018 comparative periods is that maize was harvested in the fourth
quarter in those years, whereas current year weather conditions enabled the earlier harvest,” said the group.

Sales, both on the local and international markets, were mixed.

“A record global tea production, coupled with a glut in sales, negatively affected export tea sales.

“Consequently, the group has
large tea stocks. Local tea sales have improved as a result of improved marketing strategies on the local market.

“Sales of macadamia, fruit, poultry and maize are in line with production levels. Global demand for macadamia has remained very firm, enabling the group to sell its entire crop,” said Ariston.