ICON Properties Plc admits global economic hiccups as a major high cost of living contributor

Chief Executive Officer, Ellen Chapinduka-Nyasulu

* Managed a good increase in terms of share price due to the rental growth recovering as well as the fair value

* The company has been doing good and we’ve managed to refurbish some properties

* Which are now driving income at more than 150%-200% of what they should’ve been getting if they were not maintained

By Victor Singano Jnr

ICON Properties Plc has described the current global economic challenges as the major factor which has contributed to low performance and a high cost of living.

The company’s Chief Executive Officer, Ellen Chapinduka-Nyasulu disclosed this during a stakeholder engagement meeting at Ryalls Hotel in Blantyre where the company created a platform to provide update to its shareholders on how they are performing on the market, current status as well as future plans.

Chapinduka-Nyasulu said the company has managed to realize a good increase in terms of share price due to the rental growth recovering as well as the fair value (capital gross), but she however, lamented over the high cost of doing business due to a number of factors which include; inflation, challenges emanating from global perspective and forex shortage which impacted Malawi following the Russia and Ukraine war.

“The company has been doing good and we’ve managed to refurbish some properties which are now driving income at more than 150%-200% of what they should’ve been getting if they were not maintained.

“Currently, we have various projects which we are investing in such as a 4-star hotel in Lilongwe, Office complex in Blantyre among others. But although we are doing this, we must admit that the market environment has been hard,” Chapinduka-Nyasulu said.

One of the shareholders, Emmanuel Chinunda was impressed with the company’s performance, which he said contributed to a good dividends sharing among shareholders.

However, Chinunda urged management to be proactive in terms of looking at opportunities which exist in the market and not just looking at immediate needs but also think about the future.