AXIA Corporation Limited (Axia) plans to roll out several new TV Sales & Home (TVSH) and Transerv branches in 2026 as part of a wider growth strategy to expand its footprint locally and regionally.
Axia’s operating business units are TVSH, Distribution Group Africa and Transerv.
During its full financial year ended June 30, 2025, the group’s earned revenue of US$38,06 million from the regional business and US$158,4 million locally.
Comparatively, in the prior period, the firm earned revenue of US$42,69 million from its regional business and US$151,15 million locally.
“The group will continue to pursue a growth strategy in all its business units. To achieve this, we will continue to direct our efforts on our product offerings. Central to this goal is the ongoing focus on the quality of our products,” Axia chairman Luke Ngwerume said in a statement attached to the group’s financial year results for the period ended June 30, 2025.
“We will look at increasing the range of our products to meet growing customer needs and at the same time attend to new market segments.
“We will seek growth in sales volumes through competitive pricing of our products, realising that the local customers have options to source products from competitors both local and regional.”
The group will work closely with its suppliers to ensure the delivery and sustainability of this competitive pricing model for its customers both locally and within the
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region.
“The group will continue to expand its footprint in order to bring convenience to our customers across the countries in which we operate,” Ngwerume said.
“Several branches will be opened in the new year by TVSH and Transerv as alluded to above. Digital channels will be consolidated and expanded to improve customer access to our various products.”
Under TSVH, three new stores opened during the year, while one was closed in July 2024.
“Five additional outlets are planned for FY26, reinforcing the company’s commitment to national coverage and customer accessibility,” Ngwerume said.
Regarding Transerv, he said the number of retail shops increased with the opening of eight new shops in the current year, while seven shops were expected to be rolled out during the current period.
The group committed US$5,84 million in capital expenditure for its current financial year ending June 30, 2026.
“The capital expenditure is to be financed out of the group’s own resources and existing borrowing facilities,” Axia said.
The firm recorded having US$1,73 for every dollar of short-term debt, leaving the firm adequately capitalised.
During the review period, Axia generated net cash of US$7,81 million from operating activities, representing a marginal (1%) decrease on the comparative year.
This translated into enhanced free cash generation, enabling the group to incur capital expenditure for the year totalling US$3,58 million mainly on completion of the Restapedic factory (TVSH’s bedding arm), expansion of stores, and additional delivery trucks.
“In manufacturing, the relocation of the furniture-making operations to the Sunway City manufacturing facility should result in synergistic benefits for both the bedding and furniture-making operations.
“This should contribute to efficient and cost-effective production processes, thus enabling the Group to produce price-competitive quality products,” Ngwerume said.
“There will be continued focus on generating free cash across the group in order to fund the growth initiatives. Appropriate attention will be given to the financial position of the group with the clear intention to maintain its strong position.
“In today’s dynamic economic climate, the group is focused on a dual-pronged financial strategy: maintaining a strong financial position while using strategic borrowing to fuel growth.”
He said that this approach allowed the firm to ensure long-term stability and resilience while continuing to invest in key initiatives.
