Kenya Electricity Generating Company (KenGen) has posted a net profit of Sh. 9.1 billion from Sh. 6.74 billion recorded a year earlier..
This represented a 34.31 per cent growth in profitability. However, Kengen declined to pay shareholders dividend, citing cash flow needs to fund capital-intensive projects.
“Interest income registered a growth of 123 per cent mainly attributable to earnings from investment of funds raised during the rights issue awaiting full implementation of earmarked projects,” said acting managing director Rebecca Miano. “The board of directors does not recommend payment of a dividend due to investment in the projects and cash flow needs.”
Kengen further said its electricity revenue remained nearly flat at Sh29.36 billion in the review period this year from Sh29.5 billion a year earlier.
“The power evacuation constraints have since been resolved with the completion of the Olkaria-Suswa line, which has enabled more electricity to be dispatched from the Olkaria plants, thus mitigating the impact of low hydro generation due to drought,” she said.
