KenGen profit for the six months ended 31st December fell marginally to Kshs 3.3 bn from Kshs 3.4 bn recorded in a similar period in 2021.
A closer examination of the company’s financial statements for the period reveals that revenue grew by 11.0% to Kshs 27.5 bn from Kshs 24.7 bn in 2021, with the company attributing the growth to the recent addition of 86 MW from its Olkaria I unit plant, which saw KenGen’s overall unit sales increasing to 4,200 GWhrs for the six months ended December 31, 2022, from 4,006GWhrs in 2021.
Expenses during the period increased by 15.7% to Kshs 18.1 bn from Kshs 15.6 bn in 2021, weighing down its overall performance.
Read: KenGen Sets Eyes 30 Electric Vehicle Charging Stations in 2023
However, the company disclosed that the high expenses were a result of the revaluation of its assets, the addition of the Olkaria Unit 6, and an increase in insurance costs.
Additionally, the company’s performance was further weighed on by a 30.7% increase in finance cost to Kshs 1.2 bn from Kshs 0.9 bn in the same period in 2021, with the company further disclosing that the increase was due to the expiration of a moratorium on certain of its debt under the COVID – 19 relief measures implemented by financiers.
Additionally, the company disclosed that it is on track to rehabilitate the forty-year-old 45 MW Olkaria I geothermal power plant, giving it a new lease of life and increasing its capacity to 63 MW as part of its renewable energy growth strategy and revenue diversification initiatives.
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