General Beltings Holdings (General Beltings) recorded a $38 950 profit after tax for the year ended 31 December 2025, down 96 percent from $1.029 million posted prior year.
Gross profit rose 26 percent to US$1.755 million, up from $1.394 million prior year, driven by improved mix and growth in higher-margin segments.
The Zimbabwe Stock Exchange-listed industrial manufacturer recorded a 43 percent surge in turnover to US$4.28 million, up from US$2.99 million posted prior year, underlining the impact of a more favourable product mix.
Revenue jumped to $4.284 million from $2.989 million.
Total volumes for the year fell 19 percent to 779 metric tonnes from 953 tonnes in the prior year, weighed down by working capital constraints and subdued aggregate demand in the economy.
“The total volumes at 779 metric tonnes were 19 percent lower than the comparable period’s 953 due to working capital constraints and reduced aggregate demand in the economy,” group chairman Tichaona Mabeza said.
He said the improved revenue performance was largely attributable to strategic adjustments in the company’s offerings, particularly within the rubber division.
“…total turnover… increased by 43 percent… due to the product mix,” Mabeza said.
The company, however, benefited from cost containment measures, with operating expenses declining 8% during the year despite inflationary pressures linked to increased dollarisation.
This combination of stronger margins and lower costs helped the group post an operating profit of $39,000, compared to a significantly higher $1.03 million in the prior year, reflecting the impact of once-off gains in 2024.
Performance across divisions was mixed.
In the rubber division, volumes declined 21 percent due to reduced demand from the energy sector.
However, turnover surged 81 percent to $2.92 million, supported by stronger demand from the mining sector and a shift toward more profitable product lines.
In contrast, the Cernol Chemicals division saw volumes fall 17 percent to 478 metric tonnes, although revenue remained broadly flat at $1.36 million, indicating stable pricing and market positioning.
Mabeza said the results highlight the resilience of the business model amid a challenging operating environment marked by limited credit expansion and increased competition from imports.
In the outlook, the chairman said the group expects improved demand driven by growth in mining, agriculture and energy infrastructure investment, which could further support its strategy of focusing on higher-value products.
“The focus on delivery of a commensurate value proposition to customers will remain anchored on offering timely solutions to the diverse customer base,” Mabeza said. – TML