KenGen half year pretax profit up 9% to Ksh.7.5 billion
Kenya Electricity Generating Company gained nine percent profit before tax posting Ksh.7.52 billion for the half-year period ended December 31, 2021.
This marks a huge improvement in KenGen’s revenue portfolio when it recorded Ksh.6.87 billion similar period in 2020.
The electricity generator has attributed the performance to an increase in sales and diverse revenue streams.
“Our performance for the six months ended 31st December 2021 remained stable supported by increased income from revenue diversification initiatives and overall growth in electricity demand,” said KenGen.
The company reported a high of 1.3 percent in its net revenue translating to Ksh.5.1 billion from Ksh. 5 billion in the previous year.
Total revenues grew by 14 percent from Ksh.21 billion in December 2020 to Ksh.24 billion.
KenGen’s operating profit settled at Ksh.7.4 billion which is 1.8 percent up year-on-year basis as its operating costs increased by eight percent to Ksh.14 billion from Ksh.13 billion.
This was attributed to increased business activities in Ethiopia, repair maintenance and higher steam costs following increased dispatch from Olkaria I AU and V geothermal plants.
It also reported an increase in its total assets by 1.4 percent to Ksh.431.5 billion while total liabilities rose by 1.3 percent to Ksh.218.0 billion.
Income tax expense gained 32 percent to Ksh.2.3 billion from Ksh.1,.8 billion during review period owing to the impact of corporate tax reversal from 25 percent back to 30 percent.