Kenya Power net profit grows to Sh4.61bn

Kenya’s electricity distributor has posted a marginal 9.43 per cent increase in profits after tax for the full year ended June on increased power purchasing costs which ate into revenues.

Kenya Power on Friday said that its profits after tax for the full year rose by Sh398 million to Sh4.61 billion as at June 30 this year from Sh4.21 billion earned during a similar period in 2011.

Total revenues, which include electricity sales, recovered foreign exchange losses and recovered fuel costs, rose by 30.77 per cent to Sh95.66 billion as at the end of June this year from Sh73.15 billion last year.

Costs related to the purchasing of power which include the purchases of electricity, fuel and foreign exchange costs rose by 40.52 per cent to Sh69.96 billion from Sh49.79 billion bringing down gross margins.

“Electricity sales grew by 3.6 per cent from 5,785 million units in the previous year to 5,991 million units in the period under review,” said Kenya Power in a statement, adding that this growth was achieved in spite of a marginal increase in system losses.

The company has proposed a final dividend of Sh0.30 per share to be paid at the end of February next year.