TRUWORTHS Zimbabwe (Truworths) says the lack of US dollar long-term finance hampered the growth in credit sales in the six months ended January 7, 2024.
During the period, all the company’s credit sales were in US dollars and of the cash sales 71,4 percent were in US dollars and 28,6 percent in Zimbabwe dollars.
“The trading environment has remained complex and uncertain. The recent announcement regarding the continued use of the multi-currency regime until 2030 is welcome,” the company said in an update.
The clothing retailer said sales and profitability continue to be adversely affected by the restrictive pricing laws, giving an unfair advantage to the informal sector.
“The importation of sub-standard clothing and footwear by the informal sector which sells at below production cost and duties payable,” the company said.
This comes as most companies listed on the ZSE have delayed the publication of their results owing to various reasons including currency issues.
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