Eveready East Africa has announced that it posted a net loss of Sh. 206.5 million for the full year ended September 2016.
This was an increase of 2.5 per cent. In the same vein, its revenues halved to Sh553.3 million.
In the financial year to September 2015, Eveready booked Sh75.9 million as “other income” from the sale of an unoccupied maisonette in Milimani estate, Nakuru.
Consequently, Eveready has been forced to shut down its Ugandan warehouse.
According to Eveready managing director Jackson Mutua, the company will now supply the Ugandan market through a local distributor.
“Sometime in early 2012, the company made a decision to supply Uganda through Kenya or direct shipments for efficiency purposes,” Mr Mutua said. “However, it has not been easy trading in Uganda. For instance, some retailers lack identity cards posing a significant challenge when trying to manage them. It is for such reasons that the board decided to close the warehouse.”
Eveready’s board of directors did not recommend a dividend payout to shareholders, extending a drought that started in the financial year to September 2008.