Dallaglio Investments has delivered a record-breaking performance, with profit surging 147% to nearly US$104 million, as rising gold prices turned the mining unit into the main driver of Padenga Holdings’ strongest financial year since entering the sector.
By Ryan Chigoche
Dallaglio’s explosive growth highlights the increasing dominance of gold mining within Padenga Holdings, following the group’s strategic shift away from crocodile farming.
Gold Prices Fuel Massive Profit Growth
For the financial year ending December 2025, Dallaglio’s pretax profit jumped 147% to $103.99 million, up from $42.18 million the previous year, according to Padenga’s annual results.
Revenue from the mining division climbed 30% to $251.06 million, contributing a massive 94% of the group’s total sales.
At group level, Padenga’s revenue rose 26% to $265.82 million, while profit before tax from continuing operations increased 114% to $93.88 million.
The strong performance was largely driven by a sharp rise in gold prices, with Dallaglio achieving an average price of $3,448 per ounce, compared to $2,386 in 2024.
From Crocodiles to Gold: A Strategic Shift Paying Off
Padenga Holdings initially acquired a controlling 50.1% stake in Dallaglio in August 2019 as part of its diversification strategy. In 2025, the group completed the acquisition of the remaining 49.9%, making Dallaglio a wholly owned subsidiary.
The latest results confirm that mining has now become Padenga’s core business.
Strong Cash Flow and Debt Reduction
Dallaglio generated $70.75 million in operating cash flow during the year, a 68% increase from $42.08 million in 2024. This enabled the company to fully fund its capital expenditure internally while significantly reducing debt.
Borrowings at the mining unit dropped 45% to $19.22 million by year-end, while group net interest costs declined 55% to $4.07 million.
Expansion Projects to Drive Future Growth
Padenga is leveraging its stronger balance sheet to expand operations across its key mining assets.
At Pickstone Peerless Mine, the third phase of an underground expansion project was commissioned in December. The upgrade enables access to deeper ore bodies and opens new exploration drilling zones.
The company also expects to begin generating power from a 4.9-megawatt solar plant at Pickstone in the first quarter, following delays related to contracting and logistics.
At Eureka Mine, a gravity circuit upgrade is scheduled for commissioning in the second quarter. In addition, a separate 5-megawatt solar project is expected to start supplying power in the first quarter.
Outlook: Gold Driving Zimbabwe’s Mining Momentum
With gold prices remaining strong and operational efficiencies improving, Dallaglio is now firmly positioned as the growth engine of Padenga Holdings.
The results underscore a broader trend in Zimbabwe’s mining sector, where gold continues to dominate as a key driver of revenue, investment, and economic growth.
