This is revealed by John Moxon, executive chairman of Meikles Limited, who says this will be “wonderful news for stakeholders as it will re-position TM Supermarkets as a leader in a very competitive industry.”
There are 50 TM Supermarkets countrywide, including two carrying the Pick n’ Pay brand, with TM Borrowdale in Harare the current flagship.
Moxon said the significant investment is designed to see TM Supermarkets regain pre-2009 traction as Zimbabwe’s foremost supermarket chain. “Precise timelines are not yet finalised but we shall both renovate current stores throughout the country and open new ones initially in Harare, to world-class standards.”
He said the substantial increase in profit was due to several key factors, including fine-tuning management and better stock control, merchandising and buying strategies.
The Meikles executive chairman’s formal statement exudes great confidence: “The $25mln investment, together with a substantial internal generation of cash from increased earnings, will soon be available for the renovation of existing supermarkets and the addition of new opportunities. Pre-tax profits of TM Supermarkets for the 11-month period to the end of February 2013 have exceeded those of the previous year by in excess of six-fold.”
He added that the company had been “greatly encouraged” by the performance of the two Pick n’ Pay stores opened in Harare in 2012 (Kamfinsa and Westgate) and the TM branded store in Chinhoyi which was extensively refurbished, such that “these programmes will be accelerated substantially in 2013.”
Post published in: Business