The Kenya Electricity Generating Company PLC (KenGen) shareholders are set to receive Sh2 billion in dividend pay-outs for the year ending June 30, 2023, one of the highest the company has paid since the 2016 Rights Issue.
This follows approval by the NSE-listed company’s shareholders during the 71st AGM held in Nairobi, which paved the way for KenGen to pay a first and final dividend payment of Sh0.3 per share, adding up to Sh2 billion.
The dividend payout comes at a time when the company posted Sh5.2 billion in profits after tax, which KenGen says goes to demonstrate its strong financial health and stability over the years.
Speaking in Nairobi during the AGM, KenGen Board Chairman Julius Ogamba noted that the company’s strong business fundamentals, innovation culture, and robust expansion strategy have continued to propel the company to profitability, thereby growing value for its shareholders’ year-on-year.
“Our financial results for the year paint a picture of growth and sustainability. Revenue increased by 14%, reaching Sh 53.96 billion, showcasing the financial health and robustness of the company,” said Mr. Ogamba.
KenGen Chairman further said that KenGen would continue to push its ongoing good-to-great strategy, which is anchored on geothermal development and revenue diversification.
“Looking ahead, our initiatives to increase generation capacity by more than 154 MW, mostly drawn from pipeline projects in geothermal, over the next two years reflect our dedication to meeting the ever-growing demand for clean energy in Kenya,” said Ogamba.
For his part, KenGen Managing Director and CEO, Eng Peter Njenga, reiterated the company’s 2024 priority focus areas, which he said will be on new technologies to generate more electricity using the existing power plants.
“We are on course with new initiatives to increase generation capacity by more than 154 MW over the next two years through the rehabilitation and up-rating of existing assets, showcasing our commitment to meeting the rising demand for clean energy in Kenya,” said Eng. Njenga.
KenGen is also betting on diversification in geothermal consultancy and its green energy park in Olkaria to drive its financial sustainability in both the current and coming years.
By Joseph Ng’ang’a
