Unifreight Africa recorded 30 Percent Q1 Revenue S...

Unifreight Africa recorded 30 Percent Q1 Revenue Surge

Rutendo Mazhindu - ZimNow Reporter

Zimbabwe Stock Exchange listed transport and logistics concern, Unifreight Africa Limited, recorded a 30 percent rise in revenue in the first quarter of 2025 compared to the same period last year, reflecting solid demand and the impact of new strategic business units.

The company reported that turnover increased from US$20.4 million in 2023 to US$24 million in 2024 and is projected to reach US$32 million in 2025.

In a trading update, Group CEO Mr. Richard Clarke said the performance showed strong momentum despite the prevailing macroeconomic challenges.

“Our growth strategy is starting to bear fruit, and we expect the positive trends to continue,” said Mr. Clarke. “The Group is well positioned to achieve full year budget results, supported by ongoing growth in cross-border operations and increasing contributions from the 4PL unit.”

Unifreight introduced two new business units: a Fourth-Party Logistics (4PL) brokerage and a dedicated Cross-Border Transport division which have started to make significant contributions.

“The 4PL operation contributed a healthy share of first-quarter revenues and even delivered additional monthly profits that were not present in the prior year,” Mr. Clarke said.

The company said profit margins remained modest as both new units are in a cash-absorption phase due to investment in fleet, technology, and personnel.

Mr. Clarke said the trading environment remained difficult. “Operating costs in Zimbabwe are significantly higher than in neighbouring countries, squeezing margins. Fuel prices, duties, and licensing fees all impact competitiveness,” he said.

Unifreight added 20 new trucks to its fleet in the quarter and maintained a 92 percent fleet availability rate. Key investments were also made in real-time shipment monitoring, driver training, and safety.

Looking ahead, Mr. Clarke said the second quarter is expected to benefit from increased activity tied to the annual tobacco harvest season.

“With a bumper tobacco crop expected in 2025, we will transport substantially higher tobacco volumes for our clients,” he said.

He added that the company is confident of delivering improved earnings for the year. “Unifreight Africa enters the remainder of 2025 with confidence and determination,” said Mr. Clarke.