Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
The Nairobi Securities Exchange-listed firm had posted a net profit of Sh12.6 million, in the same period last year.

Agriculture

Sasini’s net profit grows 45.5 times on higher sales

NAIROBI, Kenya Jan 13-Agricultural firm, Sasini grew its net profit 45.5 times to Sh573.2 million in the year ended September 2021, buoyed by higher sales and cost containment measures that boosted margins.

The Nairobi Securities Exchange-listed firm had posted a net profit of Sh12.6 million, in the same period last year.

“The Group’s performance showed resilience evidenced in increased turnover compared to the prior year driven by a combination of improved prices in some commodities, depreciation of the Kenya shilling, good weather conditions for growing resulting in higher coffee volumes and cost containment measures within the Group,” said the firm in a statement.

The local currency depreciated to trade at lows of 111.5 units to the dollar in the review period, lifting the earnings of exporters.

Sasini declared a final dividend of Sh0.5 per share which will be payable on March 15 to shareholders who will be on record as of February 22.

The final dividend will raise the company’s total distribution for the year to Sh1 per share.

The firm’s revenue increased by Sh1.1 billion to Sh5.2 billion in the review period when it also benefitted from reduced costs.

Sasini did not give a breakdown of its expenses but noted that it continues to implement mechanization of tea harvesting, a strategy it says is a “key driver in the cost containment measures of the company and the return to profitability.”

“Tea production volumes were within expectations. The coffee business had a strong performance based on high global prices for coffee, reduced supply due to growing disruptions in Brazil and Vietnam and good growing conditions in Kenya,” Sasini said.

Advertisement. Scroll to continue reading.

“The macadamia business recovered in the second half of the year as global markets opened up on the back of relaxation of the containment measures for the Covid-19 pandemic.”

The company added that the avocado business registered good harvests and increased demand during the year, but its performance was affected by increased competition from competitor growing regions in South America.

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...

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...

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

Coronavirus

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