The Board of the Kenya Electricity Generating Company PLC (KenGen) has recommended dividend payout of Sh1.65 billion for its shareholders for the year ended June 30th, 2019.
“The Board is recommending a final dividend of Ksh 0.25 for the year for every ordinary share of Sh2.50 which amounts to Sh1.65 billion for the year.” The Managing Director and Chief Executive Officer, Mrs. Rebecca Miano said while releasing the company’s audited results
During the year ended June 2019, the company’s energy sales grew from 7,989 GWh in 2018 to 8,277 GWh despite the dilution of the market share following new entrants. KenGen’s total revenue grew from Sh45.30 billion in 2018 to Sh45.97billion in 2019, leading to a 1.5pc growth.
KenGen’s other income increased from Sh275 million to Sh619 million, mainly as a result of consultancy services, insurance compensation and tax refund.
In 2018, the company paid its shareholders Sh2.64 billion in dividends which translated to Sh0.40 for every ordinary share.
Mrs. Miano observed that during the period ending June 2019, business remained resilient despite the challenging economic conditions in Kenya.
The KenGen MD said the projections indicate that the medium-term macro-economic environment will be tough, compounded by the economic shocks brought about by the Coronavirus Disease (COVID-19) Pandemic.
“KenGen recognizes that the ongoing COVID-19 Pandemic may have an impact on its business. The short-term impact of COVID-19 on the company’s performance is likely to be reflected in the 2019/2020 earnings,” she added.
However, she was quick to point out that in the long term, the current conditions present opportunities to diversify as the economy recovers.
“The company remains financially robust with the directors reiterating their commitment and confidence in the company’s ability to continue navigating the COVID-19 with associated macro and socio-economic challenges,” she stated.
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