This archive report was first published on 12 November 2021.
As of June 2021, Kenya Power's financial situation is dire, with liabilities exceeding assets by a whopping Sh. 66.47 billion, according to an audit report by the Auditor General, Nancy Gathungu.
Published on November 12, 2021, the report highlights the power provider's struggles, with liabilities standing at Sh. 116.11 billion and assets at Sh. 49.63 billion.
Despite a net profit of Sh. 1.5 billion for the full year ended June 30, 2021, Kenya Power's financial woes are evident. The company's profit before tax stood at Sh. 8.2 billion, representing a 216 per cent year-on-year growth compared to a loss before tax of Sh. 7.04 billion in the previous period.
Revenue recorded an 8.2 per cent jump from Sh. 133.3 billion the previous year to Sh. 144.1 billion, mainly due to an expanded customer base and heightened revenue protection activities.
Operating expenses dropped by 17 per cent from Sh. 47.8 billion to Sh. 39.9 billion, while finance costs registered a 27 per cent reduction from Sh. 12.5 billion in FY2020/21 to Sh. 9 billion.
