HARARE — Delta Corporation Limited says it is heading into the second quarter of its financial year riding solid momentum across its Zimbabwean operations, buoyed by a stable local currency, subdued inflation and resilient consumer spending, according to the outlook issued alongside its trading update for the quarter ended 30 June 2026.
That confidence is grounded in a strong opening quarter. Zimbabwe’s largest beverages and agro-industrial group posted a 23% jump in first-quarter revenue to US$294.6 million, driven by strong volume growth across its lager, sorghum beer and spirits businesses.
Group beverage volumes rose 14% to about 3.4 million hectolitres, with Zimbabwean units, excluding regional subsidiaries, up 18%. Lager beer volumes grew 17%, while sorghum beer climbed 20%, led by Chibuku Super’s 30% rise. African Distillers Limited recorded a 43% jump in volumes on stronger cider, wine and brandy sales, and Schweppes volumes rose 37% after packaging-line repairs restored supply.
The 125-year-old, Zimbabwe Stock Exchange-listed group,
which serves more than 20 million consumers through 16 plants,
attributed the growth to currency stability, low inflation,
firmer mineral prices and improved consumer spending,
alongside diaspora remittances and tobacco-season liquidity.
Over 90% of domestic sales were transacted in foreign currency.
Not all units shared the momentum. United National Breweries in South Africa saw volumes fall 7% on distribution disruptions, while National Breweries Zambia declined 12% amid plant reliability issues.
Margins remained under pressure from fuel, freight, PET packaging and sugar-tax costs, with the group accruing US$7.3 million in sugar tax during the quarter. Delta paid US$88.5 million in Zimbabwean taxes for the period.
The company also disclosed it has paid US$20.8 million toward a disputed US$97 million foreign-currency tax assessment from the Zimbabwe Revenue Authority covering 2019 to 2024, following court rulings against the group on currency-apportionment questions. The matter remains before appeals courts.
Delta said capacity-expansion projects at its Southerton and Belmont breweries remain on track to ease supply constraints by November 2026.