Staff Writer
HARARE – Delta Corporation Limited has reported robust volume and revenue growth for the third quarter ended December 31, 2025, attributing its performance to currency stability, low inflation, and resilient consumer spending in Zimbabwe.
In a trading update released this week, the beverage giant said group revenue climbed 37% for the quarter and 31% year-to-date, driven by strong operational volumes and the consolidation of Schweppes Holdings Africa as a subsidiary from April 2025.
Notably, more than 85% of domestic sales were transacted in foreign currency, underscoring the continued dollarization of the formal economy.
“The operating environment during the quarter was largely conducive,” the company stated, citing a stable Zimbabwe Gold (ZiG) exchange rate, improved agricultural output, increased mining activity, and higher diaspora remittances.
All key beverage categories showed significant growth. Lager beer volumes grew 16% for the quarter, while sorghum beer rose 21%, achieving record daily sales rates.
Sparkling beverages increased 18%, supported by strategic pricing and promotions, though the company flagged potential price adjustments due to an increased sugar tax and higher VAT rate.
The Maheu category was a standout, with volumes surging 99% following the relaunch of the Shumba Maheu brand. African Distillers also recorded a 64% volume increase during the festive quarter.
Despite the strong momentum, Delta struck a note of caution for the coming quarters. The company plans to “invest ahead of demand” locally but warned that geopolitical developments and input cost pressures could threaten current growth trends.
Regionally, the picture was mixed. The South African market showed modest improvement, aided by lower fuel prices and interest rate cuts, while operations in Zambia remained under pressure due to persistent power supply challenges, despite signs of a gradual recovery.
A significant overhang remains in the form of a long-running tax dispute. Delta disclosed it is still engaged with the Zimbabwe Revenue Authority (ZIMRA) over additional foreign-currency tax assessments totaling US$73 million for 2019–2022.
To date, the group has paid US$14.6 million under the “pay now, argue later” principle, with the matters still pending in court.
The update signals Delta’s ability to capitalize on a stabilizing macroeconomic environment in Zimbabwe while navigating persistent structural and regulatory risks that continue to define the operating landscape for listed businesses in the country.
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