By Tendai Chisiri | Business
HARARE – Seed Co International Limited posted a 130% increase in profit after tax to $13.1 million for the year ended 31 March 2026, with revenue up 30% to $161.3 million, the Group said in its audited full-year results briefing Tuesday.
Group Chief Financial Officer Tineyi Chatiza told analysts the FY26 performance exceeded plan across all key financial metrics.
Strong revenue and margin growth
Revenue grew 30% from $124.3 million, driven by pricing discipline, a favourable product mix and a climate-resilient portfolio. Volume was relatively flat at 46,836mt, with maize accounting for 93% of both volume and revenue.
Gross margin expanded to 53% from 50% a year earlier. Operating profit rose 88% to $28.8 million from $15.3 million. Net finance costs fell by $1.0 million to $2.0 million.
Tanzania, Zambia and Malawi were the principal profit anchors, with all markets profitable. Tanzania was flagged as the leading growth market.
Mixed picture for Seed Co Limited
At Seed Co Limited level, revenue fell 28% to $51.5 million from $71.2 million due to more prudent credit risk taking and reduced exports.
Profit after tax declined 54% to $8 million from $17.5 million. Gross margin narrowed to 50% from 57% on a less favourable sales mix. Overheads were cut 17% to $21.8 million.
The decline at Group level was offset by Seed Co International, where PAT grew 130%.
R&D and regional push
The Group said it has a strong pipeline across climate-adaptive crops including maize, wheat, soybean, sorghum and rice. New varieties include SC449 and SC561 white maize for Zambia, SC681 for Nigeria, and a commercial white wheat launch for Zimbabwe to cut imports.
Breeding capacity was expanded in Zambia, Kenya and Tanzania.
Outlook: Food security and local sales
Looking ahead, Seed Co cited currency pressure, input cost inflation and an El Niño below-average rainfall forecast as risks. Positives include removal of subsidies in Tanzania, IMF engagements in Malawi and Zimbabwe, and Zimbabwe’s 40% local content rule for agro-processors.
Growth drivers include supply chain investments in Tanzania and Zambia, early sales in Mozambique, direct cash sales through retail shops in Malawi and Zimbabwe, and uptake of white wheat in Zimbabwe.
The Group said its strategy is underpinned by drought-tolerant proprietary seed IP, market leadership in most markets, and a trusted brand.
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