Edgars Stores (Edgars)’ manufacturing arm, Carousel, ramped up production significantly in the year to January 4, 2026, with units supplied to retail chains rising 47 percent to 448 000, as the group’s investment in in-house capacity began to yield results.
The Bulawayo-based unit is central to the retailer’s strategy to tighten control over its supply chain after previously grappling with disruptions from external suppliers. By strengthening internal production, the group aims to ensure more consistent stock availability across its outlets.
Carousel produces a broad range of clothing for men, women and children, supplying Edgars and Jet stores, while also servicing selected third-party retailers.
In a statement accompanying the group’s financial results, chairman Themba Sibanda said capital expenditure during the year was deliberately channelled toward strengthening key areas of the business.
“During the year, capital was strategically allocated toward the retooling of the Carousel Manufacturing Division, expansion of the retail debtors’ book and selective store roll-out initiatives,” Sibanda said.
“These investments are designed to support sustainable medium-term growth while strengthening the group’s vertical integration and competitive positioning,” he added.
The group invested US$1,1 million to maintain and expand production capacity, with a focus on upgrading cutting room systems. Management expects the improvements to boost output, minimise fabric waste and enhance cost efficiency, positioning Carousel as a key contributor to profitability.
The stronger production performance supported overall trading, with merchandise revenue increasing 12% to US$34 million during the period. Growth was underpinned by firmer demand, improved execution in stores and better product availability.
Total units sold rose 19,3% to 2,38 million, reflecting solid performance across both the Edgars and Jet chains.
Edgars recorded turnover of US$18,7 million, up 10,2% year-on-year, with volumes reaching 990 000 units. Jet matched that growth rate, with revenue climbing to US$14,7 million, while units sold totalled 1,25 million.
Sibanda said the group’s Express stores continue to gain momentum among price-sensitive consumers, with management focused on scaling up the format and deepening its footprint in this segment.
On the financial services side, the USD-denominated debtors’ book grew 8,6% to close at US$12,6 million, supported by an increase in active accounts to 83 700 from 81 300 in the prior year.
Credit utilisation also improved, rising to 30,6% from 16,8%, while account performance strengthened. Current accounts stood at 85,5%, and arrears declined to 14,5%.
Expected credit losses eased to 3,5% of the book, reflecting tighter underwriting standards, disciplined monitoring and stronger collections.
Meanwhile, the ZiG debtors’ book contracted to ZiG1,9 million from ZiG3,9 million in 2024, following a suspension of local currency lending earlier in the year.
“ZiG lending was reintroduced in June 2025, following improved currency stability, with measured growth thereafter,” Sibanda said. – TML