Connect with us

Hi, what are you looking for?

Capital Business
Capital Business


Mumias issues profit warning

MUMIAS-SUGARNAIROBI, Kenya, Sept 11 – Mumias Sugar has announced a profit warning for its full year 2014 performance indicating that it expects profits to fall by more than 25 percent.

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.

Click to comment

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...


NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...


NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...


NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...


NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...