Kenya Railways Financial Results: Kenya Railways has reported an annual loss of Sh. 24 billion. This is according to data from the Consolidated National Government Investment Report covering the 2020/21 financial year.
The data on the loss was part of the government’s report on financial performance by State corporations. The report also showed that the Kenya Airports Authority (KAA) post a Sh. 7.1 billion net loss.
The loss by Kenya Railways was attributed to losses that were posted on the Standard Gauge Railway (SGR) operations whose revenue have continued to trail operating costs since launch.
As at September 2020, the Standard Gauge Railway line (SGR) announced that had made over Sh. 21 billion in the three years it has been in operation.
The controversial railway project said that in the three years to May this year, it posted a combined operating loss of Sh. 21.68 billion. This revelation was made via a report to Parliament that was made by the ministry of Transport which is under cabinet secretary James Macharia. The report said that the line’s operational costs had hit Sh. 46.71 billion against revenues of Sh. 25.03 billion.
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In the first full year operation to June 2019, the SGR made revenues of Sh. 2.4 billion, but this was based on a freight operations of six months. The SGR raked in sales of Sh. 10.1 billion in its second full year of operations. In the five months to May 2020, operating costs stood at Sh. 7.229 billion, while sales hit Sh. 4.8890 billion. These sales were mainly from cargo.