SeedCo International’s revenue up 14pc in 2024
SeedCo International Limited demonstrated a commendable performance in the financial year ending March 31, 2024, as evidenced by various financial indicators and operational highlights.
The company experienced a significant revenue growth of 14 percent compared to the previous year, reaching US$118.0 million.
This growth was primarily driven by record sales in East Africa and strong performances in Zambia, DRC and Malawi.
The company’s ability to expand its revenue base across multiple regions showcases its market penetration and product acceptance.
The company’s profit after tax surged by nearly 70 percent, underpinned by robust topline performance, improved margins and reduced exchange losses.
This indicates efficient cost management and strategic decision-making, leading to enhanced profitability.
SeedCo International Limited made notable improvements in its financial position.
The reduction in net debt, coupled with a better debt-to-equity ratio of 46 percent compared to 54 percent in the prior year, reflects improved cash generation and effective working capital management.
The increase in property, plant and equipment signifies investments in operational capacity, particularly in Zambia, which bodes well for future growth.
The company’s operational efficiency is evident from the reduction in inventories and receivables, indicating effective inventory management and enhanced collection processes.
Moreover, the positive working capital changes contributed to a significant increase in operating cash flows, reflecting the company’s ability to convert sales into cash efficiently.
Despite facing regional and global challenges such as inflation, high interest rates and currency depreciation exacerbated by climate change, SeedCo International Limited demonstrated resilience in its performance.
The company’s diversified geographical footprint, strong brand equity and competitive intellectual property have positioned it well to navigate through challenging market conditions.
The composition of the board of directors, with a mix of experienced individuals and executive leaders, reflects a commitment to sound corporate governance practices.
The approval of financial statements and dividend declaration further underscores transparency and accountability within the organisation.
-ebusinessqweekly
