Infrastructure development firm TransCentury #ticker:TCL has slashed the cost of running its business by 20 per cent, resulting in narrowing of its first half-net loss to Sh684.8 million from Sh1 billion earlier.
The firm’s unaudited results for the period to June indicate that expenses dropped to Sh1.6 billion from Sh2.5 billion recorded last year.
In an effort to stay afloat, TransCentury last year sacked 276 employees and is now left with a workforce of 1,274, according to its 2017 annual report released this year.
"Improved performance in the first half of the year has been achieved on the back of a tough liquidity environment.
“We, however, continue to focus on the implementation of our turnaround plan that includes the re-profiling of debt and securing additional working capital funding," said TransCentury Group chief executive and managing director Ng’ang’a Njiinu. "We believe the group is well set to realise the benefits of the pent-up value in the order book."
TransCentury turnaround plan now comprises loan restructuring, asset sales, raising new capital and implementation of contracts worth Sh26 billion.
"The improved performance in the first half of the year has been achieved against the backdrop of a tough liquidity environment," said company secretary Virginia Ndunge in a statement.