CFI Holdings Limited (CFI) has made capital commitments of ZiG82,59 million (US$3,17 million) for its current financial year ending September 30, 2026, as the group accelerates investment into retooling, plant maintenance and reviving key production units after returning to profitability.
The planned expenditure follows a ZiG84,79 million investment in the financial year ended September 30, 2025.
This investment was largely directed towards property, plant and equipment, including retooling at Glenara Estates and Victoria Foods as well as efforts to resuscitate hatchery operations.
CFI overturned its loss-making position to post a profit after tax of ZiG175,83 million (US$6,59 million) for its 2025 annual period, a huge swing from a loss of ZiG995,74 million (US$40,01 million) in the prior year.
This was owing to unrealised exchange gains of ZiG441,2 million (US$16,55 million), compared to a 2024 comparative loss of ZiG877,3 million (US$35,35 million) on CFI’s foreign currency denominated loans.
“Capital commitments will be financed from available group resources and borrowings,” CFI said in its 2025 Annual Report.
The ZiG82,59 million is authorised, but not contracted for.
In terms of available group resources, cash generated from operating activities amounted to ZiG473,55 million, a marked improvement from a negative ZiG477,6 million in the prior year.
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CFI closed the year with bank balances and cash of ZiG49,57 million, providing some liquidity cushion.
While operating cash flows strengthened during the year, CFI remains in a net debt position, with borrowings exceeding cash resources at year-end, underscoring the importance of sustained cash generation to support its capital programme.
However, by the end of the 2025 period, CFI recorded having ZiG1,28 to every ZiG of short-term debt.
“During the year, the group accessed additional short-term borrowings from Ecobank, Nedbank and NMB to finance the Group's working capital requirements,” CFI said.
“As at year-end, all the short-term borrowings due to the three banks were secured by three commercial properties in Harare worth a total ZiG156,17 million.
“All long-term borrowings were due to Omani and were not secured.”
The group made long-term borrowings of ZiG665,7 million and ZiG83,56 million for short-term during the 2025 annual period.
“The borrowing facilities (including overdrafts) negotiated by management as at September 30, 2025 amounted to ZiG765.15 million (2024: ZiG1,16 billion),” CFI said.
In its 2025 annual report, after converting prior periods to ZiG, the profit made was the first in five years.
However, it is worth noting that for the 2021, 2022, and 2023 annual periods, the reporting currency was the Zimbabwe dollar.
“Going forward, the group remains focused on sharp procurement strategies, particularly for the grain commodities and will prioritise continued investments in its milling operations in order to underpin long-term competitiveness,” CFI chairperson Itai Valerie Pasi said.
“Your board and management also remain cognisant of the need for proactive strategies in a highly competitive trading environment, especially in view of the growing informal sector.
“Long term, focus remains directed towards the development of low-cost housing delivery in Harare South in support of government’s Vision 2030 housing objectives.”
CFI is, therefore, expected to maintain its efforts to resolve all issues affecting its interests in its land banks to make way for progressive, orderly infrastructure deployment and service delivery to the various settlements.
