HARARE (FinX) – Seed Co Limited’s revenue rose 38% year-on-year to US$9 million in the first four months of its financial year, as strong winter cereal sales, early local maize deliveries and rising exports offset flat trading through government and open-market channels, the seed producer told shareholders at its annual general meeting.
Group Chief Executive Officer Morgan Nzwere said sales volumes climbed 40% year-on-year to 5,000 tonnes over the period, with wheat, barley and both local and export maize sales accounting for the bulk of the increase.
Exports made up 30% of volumes sold during the four months, an increasingly important growth channel as sales through government and open-market routes remained broadly flat against the prior year.
“Early indications in terms of sales are quite pleasing,” Nzwere told shareholders. “It’s still too early to give a conclusive position in terms of where we end up.”
The improved start comes ahead of Seed Co’s main selling season in the second half of the year, when demand for maize and other agricultural seed typically peaks. The company has begun stocking its shops, outlets and distributors, while growers are delivering seed into its factories ahead of the coming season.
Nzwere said Seed Co held adequate stocks to meet anticipated demand for its 2027 financial year and to capture potential export opportunities. Working capital, he said, would be supported by direct cash sales through the company’s own shops and branded retail outlets, as well as security-backed trade credit. More than 90% of retail and commercial receivables had been collected within agreed terms, underpinning the company’s working-capital position.
The company is also adapting its distribution footprint to shifts in Zimbabwe’s retail market. Nzwere said informal trade remained significant, and that Seed Co would pursue informal distribution channels alongside its traditional outlets, alongside a continued open-market drive through its own shops and branded outlets, regional export opportunities and cash sales.
Seed Co: key figures from the trading update
| Metric | First four months, FY27 | Change y/y |
| Revenue | US$9 million | +38% |
| Sales volume | 5,000 tonnes | +40% |
| Export share of volume | 30% | n/a |
| Retail/commercial receivables collected within terms | More than 90% | n/a |
| Directors’ remuneration approved (FY26) | US$136,274 | n/a |
| Audit fees approved (FY26) | US$216,242 | n/a |
EL NIÑO RISK CLOUDS OUTLOOK
The outlook for the coming agricultural season, however, remains clouded by the risk of an El Niño weather pattern, which management said was being forecast with an 80% to 90% probability. Nzwere said the season was expected to present challenges, but that the company’s proprietary seed technology and portfolio of early-maturing, drought-tolerant hybrids would help farmers manage the anticipated conditions.
“We’ve got varieties that should do well under the circumstances.”
Source: Morgan Nzwere, Group Chief Executive Officer, Seed Co Limited, 2026 annual general meeting.
Seed Co has also diversified its product range with small grains and legumes, which Nzwere said would help spread the risks farmers face under varying climatic conditions.
Nzwere said currency stability was expected to continue, although tight liquidity remained a headwind, particularly when renewing banking facilities or seeking new funding. Global supply-chain disruptions and geopolitical tensions had also pushed up fuel and logistics costs, which feed into the cost of agricultural inputs supplied by growers, he said. Power supplies, however, have improved significantly, providing some relief to the operating environment.
For the coming season, Seed Co is targeting growth in the high single digits to mid-teens, subject to the outcome of the El Niño conditions. The company said it would continue to prioritise open-market sales, exports and cash transactions while working to widen product availability across its distribution network. Nzwere said the business remained strategically positioned through its proprietary seed technology.
Shareholders at the meeting also approved directors’ remuneration of US$136,274 for the year ended March 31, 2026, along with audit fees of US$216,242.
