Sefalana Holding Company Limited has achieved its targeted profit for the period ending April 2014. This is despite delays in the awarding of large government tenders and in new store openings.
In the statement released on Thursday accompanying the audited financial reports for the year ended 30 April 2014, the group says the latest results are consistent with those achieved in the previous year.
“We are proud to report that despite on-going challenging market conditions, Sefalana has managed to remain competitive and has achieved an overall profit before tax of P156 million for the period under review,” reads the statement.
The group led by Chandra Chauhan says the results represent a six percent increase in profit compared to the corresponding period to 30 April 2013. Over the past two years the company’s profit is reported to have grown over 40 percent since April 2012.
Sefalana credits the maintenance of profitability to greater focus on, and leveraging off the core Fast Moving Consumer Goods (FMCG) business and ensuring that other components of the group operate efficiently and effectively.
During the period under review, the group opened its first store outside Botswana in Katima Mulilo in Namibia which is said to be a significant milestone for the group as it seeks to expand into the Southern African region. The opening of the new store was followed by what is regarded as group’s biggest acquisition of the Metro Namibia group of 12 stores across the country on the first of July this year.
“This is expected to significantly grow both our top line and the bottom line profit for the forthcoming year,’ the company revealed. Sefalana, rated as the best performer on Botswana Stock Exchange (BSE) in terms of shares for the year 2013 gaining 84.7 percent, has a diverse portfolio which includes, retail, manufacturing, properties and vehicles both in Botswana and Namibia.
With revenue of P2.4 billion accumulated over the last 12 months it is expected to be further boosted by the expansion into the Namibian market where the company expects to increase turnover by around P800 million in the first 10 months of trading and contribute approximately P30 million to profit.
The group declares that it remains optimistic about its future and expects to grow the business through continued focus on core business segments in particular through its expansion into the Namibian market.