Electricity generating company-KenGen has reported Sh4.7 billion in net profit for the year ended June 30, driven by increased power generation and uptake by the country's utility firm Kenya Power.
This is more than double the Sh1.8 billion posted by the company over the same period last year(2021).
The 161 per cent year-on-year growth is attributed to business expansion at a time when the NSE-listed company commissioned 86MW Olkaria I Unit 6 earning a tax expense reduction.
The company's revenue during the period under review grew by 7.5 per cent, from Sh45.7 billion in 2021 to Sh49.2 billion, as it continued to benefit from its investments in geothermal.
Geothermal ensured stable supply despite low generation from hydropower plants due to poor hydrology in most parts of the year, management notes.
During the financial year, KenGen generated more than 70 per cent of the country's renewable energy.
This is from its mix of hydro, geothermal, wind, and thermal with a combined capacity of 1,904MW which delivered 7,918kWh during the year.
'KenGen has strong business fundamentals, posting stable results backed by its growth, innovation, and expansion strategy," acting managing director and CEO Abraham Serem said.
Serem said from an innovation perspective, they are particularly keen to explore opportunities in the E-mobility space, which they recently delved into by unveiling four electric vehicles.
He said they will use them to collect data over the medium term with the view of informing future investment decisions on the same.
"KenGen will continue supporting geothermal power development in the region as well as exploring new business opportunities that are consistent with its renewable energy focus," he said.