The property investment group said in a statement accompanying the interim results for the period that profits rose by 67% to P31 million from P18.5 million in the corresponding period last year. It noted the significant increase in profitability was largely driven by a P12.7 million profit realised from the disposal of investment property, complemented by improved operating performance across the group's regional portfolio. However, the gains were partially offset by higher finance costs resulting from elevated interest rates. "The Group delivered a resilient performance during the period, supported by the strength of its geographically diversified portfolio and continued execution of its balance sheet optimisation strategy," the group officials said in the interim financial results. "While higher interest rates continue to place pressure on financing costs, the Group remains focused on reducing debt, recycling capital into stronger-yielding assets and advancing strategic developments that will support future rental growth." During the reporting period , revenue increased by four percent to P122.1 million, compared to P117.5 million in the prior year. The P4.6 million rise was supported by stronger contributions from the group's operations in Zambia and South Africa, as well as improved recovery income. Meanwhile, rental income remained largely stable, increasing marginally by 0.5 percent to P95.2 million. The Botswana portfolio experienced a decline in rental income of P2.5 million, or four percent, due to property disposals, lease reversions, rental adjustments and minor vacancies. However, growth in Zambia and South Africa helped offset the reduction. In Zambia, rental income rose by P1 million, representing a four percent increase, largely driven by improved performance at Munali Mall and contractual rental escalations. South African operations delivered the strongest growth, with rental income increasing by P2 million, or 37%, aided by once-off lease-related income, annual escalations and favourable foreign exchange translation effects. The group said its property portfolio remained resilient, with investment properties valued at P1.695 billion, while vacancy levels remained low at two percent despite a modest increase from August 2025, reflecting continued demand for its properties and active leasing management. Primetime's diversified portfolio spans Botswana, Zambia and South Africa and is supported by a tenant mix that includes regional retail chains, blue-chip corporates, financial institutions, parastatals and international organisations. The company also continued to strengthen its balance sheet during the reporting period. Its loan-to-value ratio improved to 43% from 45% at August 31, 2025, reflecting progress in debt reduction and asset disposal initiatives. However, the weighted average cost of debt increased to 9.2 percent from 7.9 percent due to the higher interest rate environment in Botswana, resulting in increased finance costs. Looking ahead, the group said it will continue to advance strategic development projects, including Prime Plaza II and the expansion of Munali Mall, which are expected to support future rental growth, enhance portfolio quality and strengthen long-term income resilience.
Primetime also accelerated its asset recycling strategy, with assets held for sale increasing to P141 million. The disposals form part of the group's broader plan to deleverage its balance sheet and redeploy capital into stronger-yielding investment opportunities.
