The management attributed the drop to operational challenges arising from the significant drop in sugar prices due to an influx of illegally imported sugar from cheap producers over the year.
In addition, there was a shortage of cane supply due to poor soil fertility and husbandry.
“The board of Directors has taken measures to safeguard shareholders value in responding to the challenges faced by the company and the industry including restructuring of the senior management team,” The company said in a statement.
The management said they have also implemented initiatives that are intended to turn around the country’s operations to profitability in the near future.
On April 1 the company suspended its Chief Executive Officer Peter Kebati and Commercial Director Paul Murgor over widespread claims of questionable sugar sales and importation transactions touching on our company.
Shares in Kenya’s only publicly traded sugar company have fallen more than 50 percent over the past two years as the company had to compete with illegally dumped sugar and cane theft that led to a Sh1.67 billion loss last year.