Malawi Stock Exchange-listed conglomerate, Press Corporation (PCL) plc says economic outlook remains mixed and murky, as the operating environment remains volatile characterised by rising inflation and high interest rates.
The firm says market players need to exercise caution throughout the remainder of the year.
The view is contained in the company’s half year financial statement signed by board chairperson Radson Mwadiwa and chief executive officer Ronald Mangani.
According to the statement, during the first half of the year, the operating environment remained volatile characterised by fiscal slippages, coupled with harsh weather events, particularly Cyclone Freddy.
Looking forward, the conglomerate says constraints on production, foreign exchange challenges, high interest rates and rising inflation will continue to impact most businesses.
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In the statement, the firm, however, projects to remain resilient.
“The group will continue its quest to grow the portfolio with various projects in the pipeline including the solar power project which has achieved notable milestones at the moment,” the statement reads.
Amid the economic challenges, the group registered a 115 percent growth in profit-after-tax to K34.29 billion from K15.98 billion during a similar period last year.
“The growth in profitability was driven by a 31 percent growth in revenue and continued implementation of cost containing measures,” the statement adds.
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PCL has subsidiaries in different sectors of the economy including finance, telecommunications and energy.
