Cable manufacturers CAFCA Limited says its long-term survival strategy now rests on operational resilience, strong governance and disciplined capital management as Zimbabwe’s industrial sector continues to face currency instability, rising costs and subdued demand.
In its report for the year ended 30 September 2025, the company acknowledged that the operating environment remained difficult, with foreign currency volatility and constrained liquidity exerting sustained pressure on manufacturers.
CAFCA Chairperson Honour Musasiwa said the company’s focus during the period went beyond short-term profitability to preserving the business and safeguarding shareholder value.
“The past year was characterised by a challenging trading landscape, but CAFCA remained resilient through improved operational efficiencies, strengthened governance frameworks and disciplined financial management,” Musasiwa said.
The company noted that rising input costs, intermittent power supply and logistics disruptions continued to affect production planning, while limited access to affordable foreign currency impacted raw material procurement.
Despite these challenges, CAFCA maintained production continuity by tightening cost controls and optimising internal processes.
“Management prioritised efficiency across the value chain, ensuring that resources were deployed prudently in an environment of constrained liquidity,” Musasiwa said.
Beyond operations, CAFCA highlighted corporate governance as a critical stabilising pillar in uncertain economic conditions. The board reported improvements in internal controls, compliance and risk management systems during the year.
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“Strong governance is not optional in volatile markets. It is essential for sustaining stakeholder confidence and long-term value creation,” Musasiwa said.
The company said it continues to align its practices with international governance standards, particularly in financial reporting, audit oversight and board accountability.
CAFCA said its current strategy prioritises consolidation rather than aggressive expansion, focusing on maintaining market share, product quality and customer relationships.
Chief Executive Officer Vimbayi Mhlanga said the company’s approach is grounded in realism about the operating environment.
“Our strategy is not about rapid growth at any cost. It is about building a resilient manufacturing business that can withstand economic shocks while continuing to serve customers reliably,” Mhlanga said.
The company said it will continue exploring efficiency-driven investments and selective market opportunities, while remaining cautious on capital expenditure.
CAFCA warned that challenges linked to currency volatility and infrastructure constraints are likely to persist in the near term. However, management expressed confidence that the company’s operational discipline and governance focus position it to navigate ongoing uncertainty.
“While the external environment remains complex, CAFCA is focused on sustainability, operational stability and long-term value creation,” the company said.
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