Bamburi Cement registered a 144% pre-tax profit for the financial year 2020, to Ksh. 1.776 billion, from Ksh. 728 million registered in 2019.
The company attributes its cost optimization efforts and cash protection measures implemented in 2020 to the sharp rise in pretax profit. The company’s net finance costs fell by 47% to Ksh. 207 million compared to Ksh. 369 million in 2019.
The movement restrictions by Kenya and Uganda to mitigate the spread of COVID-19 adversely affected Bamburi’s operations and transport of cement between the two countries. Its revenue declined by 5% to Ksh. 34.9 billion in December 2020 from Ksh. 36.8 billion in December 2019.
Bamburi Cement has also announced that it will hold a virtual Annual General Meeting on 10th June, 2021. The company intends to change its name to Bamburi Cement Plc from Bamburi Cement Limited, in line with the provisions of section 53 of the Companies Act 2015.
Additionally, the NSE listed company plans to change its Articles of Association to allow the manufacturer to report, deliver, and or pay to the Unclaimed Financial Assets Authority (UFAA) or any other regulator outlined by the law, any unclaimed assets including shares and dividends in the company presumed to be abandoned or unclaimed. After the payment or delivery of such assets to the UFAA, Bamburi shall no longer be accountable for the relevant unclaimed assets.
Bamburi Cement investors will receive Ksh. 1.089 billion in dividends. This translates to a final dividend of Ksh. 3.00 per ordinary share held.