Kenya Power Posts Strong Profit Growth in Late 2024.
Kenya Power reported a Sh9.9 billion net profit for the six months ending December 2024, up from Sh319 million in the same period last year.
The utility firm credits its success to lower sales costs and reduced finance expenses. A stable Kenyan Shilling against foreign currencies helped boost profits. Electricity sales rose five percent from 5,225 GWh to 5,506 GWh.
"Better network reliability and faster outage repairs drove higher consumption," Kenya Power said. The company cited new customer connections and improved access to meters and transformers.
Overall electricity revenue fell 5.4 percent to Sh107.4 billion from Sh113.5 billion in December 2023. The drop stems from lower costs passed through to customers amid currency stability.
Power purchase expenses decreased by Sh1.65 billion to Sh71.4 billion. The stronger Kenyan Shilling reduced costs for power agreements written in foreign currencies. The firm also improved its energy generation mix.
Renewable energy purchases increased to 6,603 GWh from 6,199 GWh in the previous period. Operating costs rose by Sh4 billion to Sh23.7 billion due to higher staff, maintenance, and network expansion expenses.
The company resumed payments on government loans after a pause in March 2020. Its working capital position improved 30 percent, moving from negative Sh27.4 billion to negative Sh18.9 billion.
The board announced a Sh0.20 per share interim dividend. Management plans to maintain growth through efficiency programs and revenue expansion.
Kenya Power continues its transformer metering project to boost system performance. The company expects increased electricity sales once restrictions on new power generation contracts end.
Kenya Power reported a Sh9.9 billion net profit for the six months ending December 2024, up from Sh319 million in the same period last year.
The utility firm credits its success to lower sales costs and reduced finance expenses. A stable Kenyan Shilling against foreign currencies helped boost profits. Electricity sales rose five percent from 5,225 GWh to 5,506 GWh.
"Better network reliability and faster outage repairs drove higher consumption," Kenya Power said. The company cited new customer connections and improved access to meters and transformers.
Overall electricity revenue fell 5.4 percent to Sh107.4 billion from Sh113.5 billion in December 2023. The drop stems from lower costs passed through to customers amid currency stability.
Power purchase expenses decreased by Sh1.65 billion to Sh71.4 billion. The stronger Kenyan Shilling reduced costs for power agreements written in foreign currencies. The firm also improved its energy generation mix.
Renewable energy purchases increased to 6,603 GWh from 6,199 GWh in the previous period. Operating costs rose by Sh4 billion to Sh23.7 billion due to higher staff, maintenance, and network expansion expenses.
The company resumed payments on government loans after a pause in March 2020. Its working capital position improved 30 percent, moving from negative Sh27.4 billion to negative Sh18.9 billion.
The board announced a Sh0.20 per share interim dividend. Management plans to maintain growth through efficiency programs and revenue expansion.
Kenya Power continues its transformer metering project to boost system performance. The company expects increased electricity sales once restrictions on new power generation contracts end.
