Kenya Power profit drops 16pc despite surge in connections

Kenya Power announced a 16.4 per cent drop in net profit for the half year ended December, as increased expenditure offset additional income earned from connecting an additional 1.1 million customers in the period. The profit drop came as the company’s total revenue, including charges like fuel cost adjustments that are later remitted to power producers, dropped two per cent. The performance indicates that the record electricity connections are yet to boost the bottom-line [...]

Portland Cement seeks creditors help after announcing profit alert

The East African Portland Cement (EAPCC) has disclosed plans to restructure its debt portfolio as it seeks to rebound to profitability after announcing a profit warning Thursday. The Nairobi Securities Exchange-listed cement maker Thursday reported a net loss of Sh531 million for the half year ended December. EAPCC, which also issued a profit warning for the full year ending June, attributed the losses to higher financing costs and forex losses [...]

Former Uchumi boss resigns from BAT board

Former Uchumi Supermarkets chief executive officer Jonathan Ciano has resigned as a director of listed manufacturer British America Tobacco Kenya (BAT). Earlier this month, ICPAK pleaded with Mr Ciano to resign as the chairman of its disciplinary committee on grounds of professional misconduct [...]

Banks expect loan default increase on high interest rates

Commercial banks expect non-performing loans to increase during the year due to higher interest rates, government cash-flow problems and tough economic conditions. An increase in non-performing loans has a negative impact on banks profitability as they are required to set aside some cash covering the risk of default [...]

Treasury bill rates decline in February on high liquidity

Interest rates on the 10-year government bond issued this month fell by nearly two percentage points compared to a similar bond issued in January on the back of high liquidity in the market, signalling a possible fall in the cost of money. The falling interest rates on government paper will offer hope to borrowers who are presently feeling the strain under the yoke of high loan rates that have since last June risen by 2.2 percentage points to an average of 18.3 per cent [...]

Bett asks KTDA factories to install new machinery

The government has directed all factories under the Kenya Tea Development Agency (KTDA) to launch production of value-added tea to boost farmers’ incomes and improve the beverage’s status in the global market [...]

Tuskys row bites as KCB closes credit line

Tuskys Supermarkets’ directors were Thursday locked in a day-long crisis meeting as it emerged that KCB, one of its bankers, had suspended a multi-million shilling credit line following Tuesday’s rowdy ejection of chief executive Dan Githua [...]

Bidco gains support of Uganda farmers in raging land dispute

Two groups claiming to represent Bugala Island farmers have clashed over Bidco Africa’s palm oil development project in Uganda, stoking a new round of controversy around the multimillion-shilling investment [...]

New law hands energy firm Ormat Sh5bn tax benefits

US energy firm Ormat Technologies has won Sh4.96 billion in tax benefits for its Olkaria III power plant project following a new law by the Treasury which extended the period companies can record losses without paying income tax to 10 years from five [...]

Galana scheme gets clean bill of health after row among MPs

The House Committee on Agriculture has given the one million-acre Galana-Kulalu irrigation scheme a clean bill of health, just weeks after disagreements among members on whether it should be stopped [...]