SABMiller has reintroduced the performance of Zimbabwe’s Delta Corp into its annual reporting. Here, just-drinks takes a closer look at the group.

– SABMiller owns 36% of Delta Corp. The Peroni brewer’s share of Delta Corp volume sales in the year to the end of March 2010 was 0.3m hectolitres of lager, around 1m hectolitres of soft drinks, which included the Coca-Cola brand, and 1m hectolitres of other alcoholic beverages, mainly spirits.

– Delta was formed in 1978. Its forerunner was Rhodesian Breweries, which was established by South African Breweries (SAB) in 1910 as the South African firm’s first foreign venture.

– Delta Corp had sales of US$330.8m for the year to the end of March 2010. Operating profits were $38.6m, while net profits were $35.5m.

– The firm has survived a period of prolonged hyperinflation in Zimbabwe, which at one stage in 2007 and 2008 rendered the country’s currency virtually worthless in real terms. Delta was forced to pay staff in ‘kind’ with food and other supplies rather than in money.

– Following Government efforts stabilise the currency in late 2008 and early 2009, the group has reported renewed growth. “With the national adoption of a stable currency and the removal of price controls, companies have been able to trade normally and to make decisions based on normal business risks and expectations,” said Delta in its full-year statement for the 12 months to the end of March 2010. However, it warned that a capital expenditure “backlog” needed to be addressed. “This backlog had resulted in plant inefficiencies which, in turn, caused process losses at a level which was not sustainable in a competitive environment,” said the group. “With much more predictable payback, it has now become feasible to invest in new equipment, major maintenance and replacement of containers.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

– In January 2010, Delta Corp acquired a 49% stake in Schweppes Zimbabwe for an undisclosed fee.

Stay informed for just £1! *

Subscribe to Just Drinks for unbiased coverage of the global drinks industry, offering insights into the corporate strategies of beverage manufacturers and brands worldwide.


What’s included in your subscription:
  • Unlimited access to Just Drinks content including daily global news, in-depth analysis, and interviews with C-suite executives
  • Unbeatable coverage of categories from beer, wine and spirits to soft drinks and hot beverages
  • Unrivalled drinks industry comment from leading sector specialists

Ready to stay informed? Subscribe now and gain access to exclusive content.

Subscribe

Have a subscription? Sign in

For further details on subscribing, click here. Need multi-user access? Explore our corporate subscriptions now.

*After your 1-month trial, your subscription will continue at £315 per year.