Kenya Power has announced a stellar performance, pulling a record net profit of Kshs.30 billion for the financial year 2023/2024, for the year ending June 2024.
The record high profit is largely attributed to the rebound in sales, which is 21% to Kshs.231.12 billion from Kshs. 190.98 billion from the previous financial year.
The company has also linked the growth to Kenya’s currency, which has been gaining momentum against the major global currencies, which the company said to have significantly reduced the finance costs.
According to Kenya Power, the finance costs decreased by Kshs.24.84 billion due to the appreciating Kenyan shilling against the global benchmark currencies, primarily the US Dollar and Euro. A paltry gain of Kshs.7.88 billion, compared to the record loss of Kshs.16.87 billion in the previous FY, was a result of the Kenyan shilling gain.
A staggering 447,251 new customers were connected to the grid during the period in focus, which significantly contributed to the current profit growth. The increased economic activities within the manufacturing sector and the domestic saw a record growth in sales at 5.1% and 5.5%, respectively.
The rising demand of units pushed the power purchase cost to Kshs.150.61 billion compared to Kshs. 143.58 billion in the previous financial year. Additionally, the company incurred an uptick in operating costs, rising to Kshs. 46.28 billion from Kshs. 37.28 billion in the previous year.
