Bamburi Cement PLC has defied the challenging economic environment in the first half of this year, increasing its pre-tax profits to KES 621 million, up from KES 124 million in the first half of 2022. The significant increase is driven by topline growth and cost-containment measures implemented during the review period.
The significant rise in the profit before tax led to a 260% increase in cash generated from operations to KES 2.8 billion from KES 1.8 billion for the same period in 2022.
Bamburi Cement to switch on solar power, disconnect from Kenya Power
Commenting on the impressive performance, Bamburi Cement Group Managing Director Mr Mohit Kapoor noted that despite the high inflation and the weakening shilling, which impacted production costs, the company remained committed to delivering solid results.
“The 2023 first-half performance clearly demonstrates our reliance, adaptability, customer focus and operational efficiency. We remain consistent in providing quality products and services through innovation to bolster topline growth and maintain effective cost management measures that have resulted in business stability even with the unforeseen challenging occurrences,” Mr Kapoor noted.
At the same time, a tax settlement in Uganda affected the net profits, which dropped to KES 88 million from KES 95 million recorded in the first half of 2022.
On the outlook, Mr Kapoor remains optimistic, underlining that Bamburi Cement is well positioned to stay profitable as the company continues to execute its operational strategies and commercial excellence to enhance positive results growth.
Commenting on the results, Bamburi Cement Group Chairman Dr John Simba said,
“As a market leader, our vision and business strategies remains top-notch to deliver quality product and services while ensuring shareholder value. We remain steadfast in driving positive performance in the second half of 2023.”