KPLC Purport To Have Made A Ksh 319 Half-Year NET Profit

Kenya Power has recorded Sh319 million in profit after tax for the half-year period to December 2023, amid an increase in electricity sales.

This is a comeback from a Sh1.1 billion loss recorded during the previous half-year period to December 2022.

According to the company, the profitability was driven by growth in revenue resulting from increased electricity sales as well as the implementation of a cost-reflective tariff.

During the period under review, revenue from electricity sales grew by 31 per cent to Sh113.6 billion.

During the period, the company commenced the deployment of a Rapid Results Initiative (RRI)which is meant to fast track meter installation for new connections across the country, as a measure to drive customer connectivity and grow electricity sales.

“I am glad to note that our sales growth was driven by our deliberate effort to grow our customer numbers, having surpassed our connectivity target for the half-year period by 13.87 per cent with a total of 225,000 new customers to the grid,” managing director and CEO, Joseph Siror, said.

Over the six months under review, there was a 240GWh increase in electricity units purchased and dispatched from renewable energy sources.

Following the increased uptake of energy from renewable sources, consumption of thermal generation reduced by 93GWh from 650GWh in a similar period in 2022, to 557GWh.

This led leading to a Sh 2.05 billion reduction in fuel cost charge on customer bills.

Despite the impressive growth in revenue and a significant reduction in fuel cost charge, finance costs increased by Sh7.6 billion, mainly due to unrealised foreign exchange losses on loan revaluations, as a result of the depreciation of the Kenyan shilling against major foreign currencies.

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