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Business Reporter
Diversified group Innscor Africa Limited posted a slightly increased profit after tax for the year to June 30, 2013 as the group’s operations recorded a marginal increase in volumes. Profit went up from US$48,5 million in the comparable period to US$48,6 million in the period under review.

In a statement, board chairman Mr David Morgan said the group’s revenue had gone 5 percent up from U$627 million to US$656,3 million in the period under review.

“The group continued to show strong cash generating ability, with cash generated from operating activities amounting to US$54,1 million for the year under review,” he said.

He said the cash profit together with the increased borrowing position had been utilised to fund capital expansion maintenance projects carried out during the course of the year.

The group’s basic earnings per share went up from US7,15c in 2012 to US7,19c in the period under review while headline earnings per share amounted to US6,36c from US6,29c in the previous year.

The board declared a final dividend of US1c per share, bringing the total dividend for the year to US1,80c per share.
Mr Morgan said the group’s bakeries and fast food operations recorded a growth with bread volumes increasing 12 percent from the prior year.

The Chicken Inn and Pizza Inn brands yielded an improved customer count of 31 percent and 13 percent respectively over the prior year.

Regionally, the fast food operations recorded a 10 percent revenue growth contributing to the overall revenue from the bakeries and fast foods for the year at US$269,05 million from US$246,3 million in 2012. However, profit before tax from the operations went down from US$29,7 million in 2012 to US$23,5 million during the period under review.

The group’s distribution business, which consists of Distribution Group Africa operations in Zimbabwe, Zambia and Malawi, reported a 17 percent growth in volumes although a changing product mix with a lower average selling price per unit resulted in lower revenue growth.

Revenue for the distribution unit ended the year at US$93,6 million, slightly higher than the 2012 figures of US$92 million.
Mr Morgan said the household division, which consists of TV Sales & Home and Capri, also produced a positive set of results with an overall volume growth of 11 percent and 19 percent respectively.

Revenues for the household division were US$51,8 million for the period under review from US$45,8 million in the prior year.