A strong recovery in copper-based products underpinned first-quarter performance at CAFCA Limited, with the segment driving a 3% year-on-year increase in total sales volumes for the period ended 31 December 2025, Mining Zimbabwe can report.
By Ryan Chigoche
Copper volumes climbed 21% compared to the same quarter last year, reflecting firmer demand from construction, mining, and other infrastructure-linked sectors.
This rebound reshaped the group’s sales mix and helped cushion a 25% decline in aluminium volumes, positioning copper as the central growth lever during the period.
The recovery in copper demand was further amplified by export momentum. Volumes into regional markets surged 77% following the restructuring of CAFCA’s distribution model and the discontinuation of the consignment stock system.
The changes enhanced delivery agility and reduced lead times, allowing the company to respond more effectively to rising cross-border demand for copper cables.
At home, performance was more mixed. Retail volumes rose 35%, supported by stronger integration with channel partners and renewed customer focus in factory outlets. Commercial volumes edged up 1%, remaining broadly stable.
However, utilities demand contracted sharply by 42% as liquidity constraints in the sector limited offtake, partially offsetting gains achieved in copper-led segments.
Operational adjustments mirrored the shift in demand. Overall production volumes increased 13% year-on-year as the group aligned output with stronger copper sales. To manage price volatility and mitigate supply chain risks, CAFCA adopted a front-loaded procurement strategy, ending the quarter with copper raw material stocks 154% above the prior comparative level.
Efficiency improvements across the manufacturing base reinforced the operational response.
First-pass yield advanced 35%, fault cards declined 42%, and equipment breakdown hours dropped 25%, signalling improved reliability.
While no power outages were recorded, voltage fluctuations resulted in 324 lost production hours, up from 99 hours previously. In response, the company is commissioning a rooftop solar plant expected to come online at the end of February 2026.
Financial performance reflected the copper-led recovery. Revenue rose 29% year-on-year, supported by higher volumes and firmer copper prices, while operating profit increased 7% following earlier cost optimisation initiatives.
With copper demand regaining momentum and export channels strengthening, CAFCA is positioning its core copper portfolio at the centre of anticipated infrastructure growth and regional market expansion, supported by continued factory modernisation efforts.
