Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
The increase is attributable to continued cost cutting by the company which has lowered financial costs as well as reducing net borrowing/FILE

Kenya

KenolKobil’s 2014 net profit hit Sh1bn mark

The increase is attributable to continued cost cutting by the company which has lowered financial costs as well as reducing net borrowing/FILE

The increase is attributable to continued cost cutting by the company which has lowered financial costs as well as reducing net borrowing/FILE

NAIROBI, Kenya, Mar 25 – KenolKobil’s 2014 net profit hit the Sh1billion mark after recording a 95 percent rise from Sh558 million recorded in 2013.

The increase is attributable to continued cost cutting by the company which has lowered financial costs as well as reducing net borrowing.

The firm’s operating costs fell by 25 percent to Sh1.9 billion down from down from Sh2.5 billion recorded in 2013 while cost of sales has reduced by 22 percent to 86.2 billion shillings down from 105 billion shillings recorded in 2013.

Net borrowing reduced by Sh4.2 billion to Sh9.4 billion from 13.6 billion at the end of 2013 a 31 percent reduction while cash generated from operating activities increased by 320 percent to Sh5.4 billion shilling up from Sh1.23 billion in 2013.

“The lower international oil prices during the last quarter of 2014 contributed to lower borrowing levels as well,” the management stated.

KenolKobil’s ‘other income’ however reduced to Sh963 million from Sh1.4 billion recorded in 2013.

The oil marketing firm said that it would continue with its cost-cutting measures this year.

“With the view that international oil prices will continue to remain relatively low during 2015, positive opportunities are anticipated to generate improved margins,” the company said.

KenolKobil’s board proposed a dividend of Sh0.20 per share for 2014 compared to Sh0.10 previously.

Advertisement. Scroll to continue reading.
Click to comment
Advertisement

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...

Headlines

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

Kenya

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

Coronavirus

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

Coronavirus

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

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...