By: OrePulse

Kenya Power, the country's national electricity distributor, reported an after-tax profit of KSh24.99 billion (about $193 million) for the financial year ended June 2026, a 2.13 percent increase from the KSh24.4 billion it posted a year earlier.

Electricity revenue provided the biggest lift, climbing to KSh238.24 billion for the year, up KSh18.96 billion. Total electricity sales rose 12 percent to 12,777 gigawatt-hours, up from 11,403 gigawatt-hours in the prior period, reflecting both a larger customer base and rising demand across the network.

The utility connected 411,710 new customers during the year and lifted distribution and transmission efficiency to 81.42 percent, up from 78.79 percent. The company said the efficiency gains, combined with revenue-protection measures to curb losses and theft on the network, contributed to the stronger bottom line.

The results also reflected an improving balance sheet. The company's finance costs fell to KSh3.08 billion, down KSh1.64 billion, which it linked mainly to lower interest expenses following reduced outstanding loan balances. Total assets grew by KSh32.45 billion to KSh421.49 billion, supported by continued investment in expanding and modernizing the network, with capital expenditure totaling KSh28 billion for the year.

The company's working-capital position swung from a deficit of KSh19.21 billion a year earlier to a surplus of KSh1.90 billion, a shift the company linked to its broader financial turnaround.

Kenya Power's board proposed a final dividend of KSh1.20 per share, which would lift total dividends for the year to KSh1.50 per share.

Managing Director Joseph Siror said the results "reflect the company's sustained implementation of strategic initiatives focused on operational excellence, customer centricity, financial sustainability and human capital development."

Looking ahead, the company pointed to automating its grid, expanding its smart-metering rollout, renewing its workforce and building out customer-focused digital tools as key priorities, alongside supporting the country's rising need for additional generation capacity as electricity demand continues to expand across Kenya's economy.

Taken together, lower finance costs, a swing to positive working capital, and growth in total assets point to a company gradually strengthening its balance sheet even as it continues to pour capital into expanding and upgrading Kenya's power network. The scale of that investment, KSh28 billion in the year alone, illustrates the extent to which the utility is leaning on its improved profitability and cash position to fund network growth rather than relying solely on external borrowing.