Companies

Car & General almost triples profit

techie

A Car & General technician. FILE PHOTO | NMG

Car & General (C&G) saw its net profit rise nearly three times in the year ended September to Sh225.7 million, benefiting from higher valuation of its properties besides lower costs in its trading business.

Net earnings for the firm that is listed at the Nairobi Securities Exchange stood at Sh79.8 million the year before.

The company declared a dividend of Sh0.8 per share, which will be paid on March 25 to shareholders on record as of February 18, 2019.

Gains in the value of its properties rose to Sh339.5 million in the review period, up from Sh229.4 million a year earlier. C & G plans to invest an undisclosed amount of money in more properties in the short term to boost its rental income and capital gains.

“On investment property business we will embark on at least one property redevelopment in the next three months,” the company said in a statement.

“We hope to commence another property development by the end of 2019 assuming we can secure an anchor tenant. We expect these developments will improve our investment property yields and values.”

C&G, which has sprawling operations including selling chicken, motorcycles and offering micro-credit, saw its sales rise 4.6 per cent to Sh10 billion.