CIGARETTE-MAKER BAT Zimbabwe on Wednesday scooped the top prize for the top-performing Zimbabwe Stock Exchange company, maintaining its apex position at this year’s prestigious Zimbabwe Independent Quoted Companies Survey event.
BAT, together with other high-flyers, were given the accolades at a colourful event at a local Harare hotel which was running under the theme “Surviving turbulence, positioning for growth”.
BAT was followed by alcoholic beverage maker African Distillers, crocodile breeder Padenga, National Foods and Delta, which were all in the top five. Other achievers include Seed Co, FBC Holdings, Colcom, Innscor and CBZ Holdings.
The main aim of the quoted companies survey is to identify not only companies that have done well and are ahead of others in the recent past, as measured by various variables, but are also likely to perform well again in future.
The companies may not necessarily be good investments judged by metrics such as P/Es, but are undoubtedly solid businesses. The survey is carried out by a team of seasoned investment analysts — Ranga Makwata, Admire Mavolwane and Rufaro Zengeni — in partnership with the Independent.
“BAT Zimbabwe continues to score highly in the quantitative metrics on which the rankings are based. Qualitatively, as well, the company seamlessly transferred the reins from Lovemore Manatsa to Clara Mlambo in January of this year. The business is consistent dividend payer, with a policy of paying out 100% of net earnings,” reads the survey in part. “Many people fail to draw the line between good companies and good investments. The top companies are chosen through a weighted set of quantitative ratios calculated from historic financial information combined with historic share price and market capitalisation growth rates.”
ZB Financial Holdings was also given special recognition for its dramatic turnaround in its fortunes in 2015 notwithstanding the deterioration in the economic environment from the prior year.
“It was not all gloom and doom though, as some companies, amazingly and against all the odds,turned around their fortunes. Of note is ZB Holdings which turnaround from an US$8 million loss in 2014 to a US$8 million profit. Another notable performances include ART, NMBZ, DZL and Willdale,” the survey reads.
Since hitting the streets 20 years ago, the Independent — the country’s leading business weekly — has not looked back, continuing to scale greater heights. Its ultimate feat was to survive the hyperinflation and dollarisation, with many companies biting the dust during both difficult periods. In those 20 years, the Independent has undertaken and published the Quoted Companies Survey for 18 years.