A major shakeup could be looming at Zimbabwe Stock Exchange listed CBZ Holdings as CEO Blessing Mudavanhu rejigs the team to reflect the new thrust, a year after taking over the reins.
Mudavanhu was appointed group CEO in May last year, replacing Never Nyemudzo who
had resigned under unclear circumstances.
Information gathered by Business Times showed that Mudavanhu has set out the parameters to some top executives at the country’s biggest financial services group that don’t fit into the system that he is trying to set up.
Mudavanhu plan is said to have already seen the departure of the group’s long serving human resources head, Reward Manyere, whose contract was not renewed while
further casualties are expected at the top.
Sources told Business Times that more heads are set to roll, as the new chief executive has made it clear that he wants to instill a new culture within the group.
Mudavanhu confirmed Manyere’s departure saying his contract had expired. “We opted not to renew the contract and you need to understand that these senior guys operate on the basis of contracts and his contract had lapsed so we decided not to renew the contract.”
He however denied that there was a shake-up happening at the group.
In its financial results for the year ended December 31, CBZ Holdings Limited posted a profit of US$72,2m up from US$ $27,83m recorded in 2017. Profitability by the group was on the back of a positive performance by the group despite the prevailing macro-economic challenges.
Total income for the group was up 14% to US$199,5m from US$175m while net interest income for the same period was 8,6% up at US$82,1m from US$75,6m in 2017.
Non-interest income during the period under review went up 18,3% to US$108,12m driven by a growth in commission and fee income, recovery on bad debts and property sales.
“The group will continue unlocking value from its land and properties portfolio through increasing presence in the properties sector. We have been efficient on our debt recovery initiatives,” Mudavanhu said.
CBZ Holdings’ assets grew to US$2,44bn last year driven by Treasury Bills which were sitting at US$1,21bn.
Non-performing loans for the group during the period were down 10,7 percent to US$100,1 million as the group sought to reduce risk in lending to agriculture which is currently experiencing drought while containing costs. Agriculture was leading on the advances with US145,2m with NPLs sitting at US$49,7m.