Business Reporter
LISTED construction giant, Masimba Holdings Limited (MSHL) has commended the obtaining ZWG resilience and easing inflationary pressures for creating a conducive business environment.
Zimbabwe’s annual inflation rate could fall by half by the end of 2025 on the back of a stable local currency, strong gold prices with inflation having dropped sharply to 32.7% in October from 82.7% in September. Industry experts now expect inflation to ease further, possibly reaching 15% to 20% by December 2025.
The economic matrix has also seen the local ZWG unit maintaining very stable exchange rate premiums on both the official and parallel market.
Presenting a trading update for the period ended 30 September 2025, MSHL company secretary, Pearl Mutiti said the third quarter of 2025 was characterized by a relatively stable macro-economic environment.
“The stability was underpinned by a sustained decline in month-on-month inflation rate, which averaged 1.4% for the year-to-date period under review. The ZWG exchange rate demonstrated resilience, recording only a marginal depreciation of 3.3% between December 2024 and September 2025
“Further underscoring the relative stability of the operating environment, this performance reflects the impact of tight monetary policy,” said Mutiti.
During the period, the group delivered a good and resilient performance r, reflecting the effectiveness of its strategic initiatives and its continued focus on operational excellence and financial discipline. Revenue for the quarter grew by 16% compared to the same period in the prior year, closing at US$16.6 million.
This growth, MSHL said reflects intensified revenue generating efforts following a subdued first quarter, which was primarily affected by a prolonged rainy season. On a year-to-date basis, revenue has recovered to match prior year levels, while net profit after tax stood at US$5.7 million, 7% below prior year, but showing a notable recovery from the 20% shortfall reported at half year.
The Group’s order book remains strong and is progressing well in terms of diversification, with an improved balance between public and private sector projects. Liquidity also improved, with the current ratio strengthening to 1.37 from 1.23 in the prior year, supported by healthier working capital management and a more balanced revenue mix across customer segments.
“The macroeconomic environment is expected to remain stable through year end, with the projected GDP growth rate of 6.5% likely to be achieved, driven by a recovery in the mining sector, a momentum expected to continue into the 2026 financial year.
“The Group therefore expects to remain profitable and maintain its growth trajectory, anchored by expansion in the mining sector and continued infrastructure investment by the government,” added Mutiti.
