Tanganda Tea Company Limited recorded a five percent increase in revenue to US$4.65 million for the first quarter ended 31 December 2025, driven by higher bulk and packed tea volumes.
In a trading update for the period, the company said the operating environment was characterised by macroeconomic stability, supported by tight monetary policy, low inflation and sustained foreign currency inflows.
Bulk tea production volumes rose by five percent to 1 530 tonnes from 1 463 tonnes in the prior year, benefiting from the early onset of rains. Bulk tea export volumes also increased by three percent to 1 170 tonnes, up from 1 134 tonnes recorded in the comparative period.
Packed tea sales volumes posted a strong 37 percent growth to 453 tonnes, compared to 330 tonnes in the same quarter last year. The increase was largely attributed to improved availability of packaging materials and higher volumes sold through the informal sector.
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Despite the revenue growth, the company reported a loss before tax of US$538 497 for the quarter. This represents an improvement from the prior year’s loss before tax of US$853 917.
Tanganda said avocado and macadamia harvests are expected to commence in the second quarter, providing additional support to agricultural output.
On capital raising initiatives, the company said progress is being made on a proposed renounceable rights offer aimed at raising US$8 million. An Extraordinary General Meeting has been scheduled for 18 February 2026 to seek shareholder approval for the transaction.
Tanganda described the macroeconomic outlook as cautiously positive, with projected economic growth of 6.6 percent supported by agriculture, mining, manufacturing and services. Inflation is expected to continue moderating under prudent fiscal and monetary policy.
However, the company warned that risks remain from climate variability, external shocks and structural constraints that could affect short-term performance. It said mitigating strategies have been put in place to address operational challenges and strengthen resilience.
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