Kenya Power and Lighting Company has revealed that its profit after tax dropped for the year ended June 30, 2019, by a staggering 92 percent.
In their unaudited trading results for the FY ended June 2019, Kenya Power posted profit after tax of Sh262 million down from Sh3.268 billion the previous year.
Its earning per share for 2019 also dipped to Sh0.13 down from Sh1.67 recorded in 2018.
The unaudited trading results show that Kenya Power’s finance costs skyrocketed to Sh10.3 billion compared to the Sh7 billion recorded in 2018.
“This was mainly attributable to an increase in non-fuel power purchase costs by Sh18,083 million from Sh52,795 million to Sh70,878 million following the commissioning of two power plants with a combined generation capacity of 360MW during the period. In addition, finance costs rose by Sh3,267 million due to increased levels of short-term borrowings and foreign exchange loss,” said the statement published by Kenya Power.
But Kenya Power reported that revenue electricity sales grew by Sh16.9 billion from Sh95 billion the previous year to Sh111.4 billion, representing an increase of 17.8 percent.