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Harare - Delta, the Zimbabwe-based unit of SABMiller [JSE:SAB], suffered depressed results for the third quarter to December 31 2013, the company said in a trading update released on Thursday.
Revenue for the period was down 3% for the quarter and up 2% for the nine months.
Management said volumes were affected by a significant slowdown in consumer spending and economic activity in the country.
Total beverage volume for the quarter was flat against the same period last year and up 2% for the nine months to December 31 2013.
The decline in lager volume continued, registering a 25% drop versus prior year for the quarter and 15% for the nine months.
Sparkling beverages were down 6% year for the quarter and 2% for the nine months.
Sorghum beer continues to record significant growth, up 18% for the quarter and 12% for the nine months indicating consumer acceptance for the category driven by the success of Chibuku Super.
Maheu was up 23% for the quarter and 42% for the nine months.
Zimbabwe is slowly slipping into deflation.
Inflation figures released on Wednesday showed the country's annual inflation at 0.33%, largely due to the effects of the contracting money supply and reduced government spending which in turn causes reverse or a negative multiplier effect and a resultant drop in GDP growth.
Generally, there has been a very low level of growth in prices for goods which in turn implies that the country's economic growth is also very poor.
Statistics released by Zimstat show the month-on-month inflation in December stood at -0.08% after shedding 0.17 points from 0.09% the previous month.
The year-on-year food and non alcoholic beverages inflation was - 2.20%, while the non-food inflation rate was at 1.61%.
Month-on-month food and non-alcoholic beverages inflation stood at -0.41%, gaining 0.19 percentage points on the November rate of -0.60%.
- Fin24
Revenue for the period was down 3% for the quarter and up 2% for the nine months.
Management said volumes were affected by a significant slowdown in consumer spending and economic activity in the country.
Total beverage volume for the quarter was flat against the same period last year and up 2% for the nine months to December 31 2013.
The decline in lager volume continued, registering a 25% drop versus prior year for the quarter and 15% for the nine months.
Sparkling beverages were down 6% year for the quarter and 2% for the nine months.
Sorghum beer continues to record significant growth, up 18% for the quarter and 12% for the nine months indicating consumer acceptance for the category driven by the success of Chibuku Super.
Maheu was up 23% for the quarter and 42% for the nine months.
Zimbabwe is slowly slipping into deflation.
Inflation figures released on Wednesday showed the country's annual inflation at 0.33%, largely due to the effects of the contracting money supply and reduced government spending which in turn causes reverse or a negative multiplier effect and a resultant drop in GDP growth.
Generally, there has been a very low level of growth in prices for goods which in turn implies that the country's economic growth is also very poor.
Statistics released by Zimstat show the month-on-month inflation in December stood at -0.08% after shedding 0.17 points from 0.09% the previous month.
The year-on-year food and non alcoholic beverages inflation was - 2.20%, while the non-food inflation rate was at 1.61%.
Month-on-month food and non-alcoholic beverages inflation stood at -0.41%, gaining 0.19 percentage points on the November rate of -0.60%.
- Fin24
