Author: David Indeje

East African Breweries Limited (EABL) has reported a one per cent drop in net profit for the year ended 30th June 2021,  due to cost inflation, tax and foreign exchange impact. The brewers’ profit before tax jumped two per cent to KSh10.9 billion during the year. Group Managing Director and chief executive Jane Karuku said through fiscal 2021, the pandemic continued to impact the business negatively across East Africa due to the restrictions in Kenya and Uganda and the general decline in disposable incomes in the region. Net cash from operating activities was up 337 per cent to KSh14.6 billion,…

Kenya’s Monetary Policy Committee (MPC)  says there is adequate liquidity in the financial system to support growth in the near term. This means the central bank is likely to keep the benchmark interest rates unchanged at 7.00 per cent. “Lowering the rate is to achieve a certain objective. There is a lot of liquidity in the system. What will be the purpose of lowering the rate? Dr Patrick Njoroge said Thursday. “In terms of liquidity management, at the end of June and beginning of July,…We did have a huge influx of liquidity. A lot of these was used to make…

Samsung Electronics Co Ltd says it will focus on its new flagship smartphones by ‘mainstreaming the foldable category’. Samsung plans to unveil its next flagship foldable smartphone, Galaxy Z Fold and Z Flip lines, on Aug. 11 However, it says the global shortage of non-memory chips still poses a risk to forecasts, and the uncertainties related to COVID-19  for both TV and Digital Appliances businesses.   “For the second half, market conditions are expected to be favourable for the component business,” Samsung said in a statement. “Memory demand will likely be buoyed by new smartphone model launches, with wider 5G availability…

The Central Bank of Kenya on Wednesday left the benchmark interest rate unchanged at 7 per cent for the ninth time. However, it said it stands ready to take additional measures in order to support the economy hit by the Coronavirus (Covid-19) pandemic. “The Committee noted that inflation expectations remained well anchored within the target range, and the economy continued to operate below its potential level,” said Dr Patrick Njoroge in an emailed statement on the decisions taken by the central bank’s Monetary Policy Committee (MPC). The hold in the benchmark lending rate was largely in line with broad market…

Unga Group Plc says it is in talks to sell Ennsvalley’s assets to BigCold Kenya. The Kenya-based holding company is involved with the manufacture and marketing of a broad range of human nutrition, animal nutrition, in a cautionary announcement,  Ennsvalley Bakery Limited entered into an agreement to sell all its assets to BigCold Kenya on 26th July 2021.    However, the proposed transaction is ‘subject to satisfaction of certain conditions and upon completion, Ennsvalley shall sell and BigCold shall purchase Ennsvalley’s assets,” the Group said.  BigCold is a logistics company providing sophisticated cold chain solutions across East Africa from its Nairobi…

East Africa’s investment firm Centum posted a loss of Ksh 1.37 billion for the financial year ended March 31, 2021.    This is compared to KSh 4.63 billion net profit posted in the previous financial year.  The drop was attributed to its loss-making subsidiaries which posted a loss of KSh 1.9 billion. In March, it issued a profit warning citing the coronavirus pandemic and lower disposal of investments to hit its profits.  As a result, the company said in its financial statement that: “The boards of Two Rivers Development Limited (TRDL) and Two Rivers Lifestyle Centre (TRLC) have initiated steps to…