Diversified retailer, Car & General (C&G), has posted a 10-fold growth in net profit for the half year to June 2024, driven by increased sales of motorcycles and mobile phones.
The company posted a profit after tax of Sh637 million in the six months, up from Sh62 million in a similar period a year ago.
The profit growth saw the Nairobi Securities Exchange-listed company announce an interim dividend of Sh0.30 per share, with none paid last year.
C&G’s revenues grew 9.8 percent to Sh12 billion, spurred by 17 percent growth in sales in Kenya, Tanzania (5 percent), and a doubling of poultry sales. The Uganda market recorded a 24 percent revenue drop.
The company has five different business lines, including automotive and equipment distribution, property investment, financial services, poultry, and helmet manufacturing.
“We are seeing growth across all product lines across the region. Of particular significance, we have seen Kenya motorcycle sales grow in 2025 to an average of 7,000 units per month from the 2024 average of 4,600 units per month,” said Car & General.
C&G's share of profits from its associate Watu, which sells mobile phones on hire purchase, jumped to Sh422 million for the period ended June 2025 from Sh113 million booked in June 2024. Watu does mobile phone financing in Kenya, Uganda, Tanzania, the Democratic Republic of Congo, Nigeria, and Sierra Leone.
The helmet production subsidiary, Boda Plus, which exports safety gear to Uganda, Tanzania, DRC, Rwanda, and Burundi, was said to be now contributing to the company’s earnings before tax, reduction of financial costs, depreciation, and tax.
The company recorded Sh150 million in other income, up from Sh89 million in June 2024, while finance income was Sh34 million. Its financing cost rose 19.2 percent to Sh732 million following increased borrowings. Its borrowings stood at Sh1.4 billion as at the end of June 2024, up from Sh806 million 12 months earlier.
C&G said its two-wheeled (2w) and three-wheeled (3w) electric vehicles in Kenya and Tanzania have been well received in the market, and it intends to increase its investment in the business line.
“With our financing capabilities, we are confident that we can drive the transition to cleaner energy in the 2w and 3w markets across the continent. Infrastructure developments for both electric charging and gas supplying are being undertaken and need to be accelerated to promote exponential growth,” said the company.
The company is still in the market to sell part of its 23 acres in Shanzu, which it put on the market last year.
“The completion of the Mombasa-Malindi highway enhances the value of the property,” said C&G.
The company’s operating expenses were Sh1.3 billion compared to Sh1.2 billion in June 2024, signalling that cost management is also chipping in to ensure improved profitability.
