Crown Paints Kenya Plc has announced that it has posted a profit after tax of Ksh. 731 Million for the financial year ending 31st December 2021. This is an improvement compared to the Ksh. 600 Million it posted in 2020.
The company’s revenue increased to Ksh. 10.7 billion in 2021, up from Ksh. 9.2 billion in 2020. Its balance increased to Ksh. 7.8 billion from Ksh. 5.6 billion in 2020, while profit before tax increased from Ksh. Ksh. 1.1 billion in 2021 from 863 Million in 2020.
In its commentary, Crown Paints Directors said the epidemic presented significant challenges in 2021 to the health and business sectors.
“The strengths of Crown paints brand and our network of stakeholders and their resilience continued to yield better returns and this is hoped to remain into the foreseeable future,” said the board.
Crown Paints turnover for the year ended 31st December 2021 grew by 17% to Ksh. 10.7 billion in comparison with the previous period. Their operating profit before tax for the year ended 31st December 2021 rose by 30% to Ksh 1.1 billion compared to the year ended 31 December 2020.
The increase in turnover was offset by an increase in the cost of sales and the general increase in operating costs due to price inflation.
In its outlook, Crown Paints says 2022 is witnessing economic constraints unfolding from volatility in the foreign exchange rates, scarcity of significant foreign exchange currencies, inflation, lockdowns affecting supply chains, general shortage of commodities in the market and changes in the geopolitical environment. The cost of raw materials has risen, pushing the cost of living and doing business.
Crown Paints Board of Directors recommends the approval of a first and final dividend of Ksh 4.00 for the 2021 financial year.