Kenya Power records Sh35.3b gross profit

Kenya Power/FILE

Kenya Power has announced a strong financial performance for the 2024/2025 financial year, posting a profit before tax of Sh35.37 billion.

The utility firm attributed the move to higher electricity sales, improved operational efficiency, and disciplined cost management.

The results were revealed during the company’s 104th Annual General Meeting (AGM) held on Friday, where Board Chairperson Joy Brenda Masinde outlined key milestones shaping the utility’s continued turnaround.

The profit compares to a net profit of Sh30 billion in the year ended June 30, 2024 — a remarkable turnaround from the Sh3.19 billion loss recorded the previous year.

Masinde noted that despite operating under a lower base tariff and reduced foreign-exchange recoveries, factors that typically place pressure on revenue, the company remained profitable.

“The Company remained profitable, recording a profit before tax of Sh35.37 billion, while continuing to invest in strengthening the grid, expanding access, and supporting national priorities, including digital inclusion and a just energy transition,” she said.

Kenya Power recorded an 8.4 per cent growth in electricity sales, supported by growing customer demand and improvements in network reliability.

This boosted electricity revenue to Sh219.28 billion, reinforcing the firm’s role as a cornerstone of Kenya’s economic activity.

Masinde highlighted that operational excellence significantly contributed to the impressive performance.

Distribution efficiency improved by 1.95 per cent, reducing power losses and enhancing revenue collection.

The company also benefited from reduced interest expenses and gains from a stronger shilling, which lowered the burden of foreign-denominated loans.

“We have made deliberate strides in cost management, system strengthening, and customer-focused interventions that continue to transform our financial health,” she told shareholders.

This year’s AGM brought together 4,651 shareholders, representing 62.92 per cent of the company’s total shareholding, equivalent to 1.23 billion shares.

Masinde presided over the meeting, which placed strong emphasis on governance, transparency, and long-term financial sustainability.

Also in attendance was the Director of Audit for Energy, Mining, and the Blue Economy at the Office of the Auditor-General, Priscilla Maina.

Her presence underscored the importance of enhanced oversight and accountability in state corporations.

Masinde welcomed this, noting that transparency is central to Kenya Power’s reform agenda.

During her address, Masinde paid tribute to the company’s workforce and leadership for steering operational improvements.

She commended the Managing Director and CEO, Joseph Siror, for championing reforms focused on strengthening power systems, enhancing service delivery, and supporting Kenya’s evolving energy needs.

“I wish to thank all the staff, led by the Managing Director and CEO Joseph Siror, for their commitment and unwavering support demonstrated through the Company’s improved performance,” she said.

Looking ahead, Kenya Power restated its commitment to modernising the grid, expanding connectivity, and supporting Kenya’s transition to clean energy.

The firm said it will continue investing in technology, network upgrades, and enhanced customer service to ensure reliable and affordable power for households and businesses.

Masinde said the strong financial results reflect a solid foundation for sustained growth and improved service delivery in the years ahead.