Kenya Power has announced that it recorded a net profit of Ksh.30 billion for the financial year ending June 30, 2024. This represents an improvement from the previous year.
Key Highlights:
- Sales Growth: Electricity sales increased by 21% to KShs.231.12 billion, driven by the connection of 447,251 new customers and increased economic activity.
- Reduced Finance Costs: Finance costs decreased by KShs.24.84 billion due to a stronger Kenyan Shilling against major global currencies.
- Power Purchase Cost: Power purchase cost rose to KShs.150.61 billion, primarily due to increased demand and exchange rate fluctuations.
Managing Director and CEO Dr. (Eng.) Joseph Siror attributed the improved profitability to the increase in revenue from electricity sales and the decrease in finance costs. He also noted that the strengthening of the Shilling in the second half of the year led to a lower increase in cost of sales compared to the growth in revenue, contributing to a higher gross margin.
Operating expenses increased to Ksh.46.28 billion from Ksh. .37.28 billion in the previous year. Overall, Kenya Power’s performance for the financial year 2023/24 was positive, driven by increased sales, reduced finance costs, and a stronger Kenyan Shilling.