Kenya Power Records Ksh24.99 Billion Profit as Electricity Revenue Rises

Kenya Power has reported a profit after tax of Ksh24.99 billion for the financial year ended June 2026, marking a 2.13% increase from the Ksh24.4 billion recorded in the previous financial year.

In a statement on Friday, September 18, the company attributed the growth in profitability largely to higher electricity revenue, increased power consumption across all customer categories and the addition of 411,710 new customers during the year.

Kenya Power also recorded an improvement in distribution and transmission efficiency, which rose from 78.79% to 81.42% during the period.

Electricity revenue rose by Ksh18.96 billion to Ksh238.24 billion, while total electricity sales increased by 12.05% to 12,777 GWh from 11,403 GWh recorded in the preceding financial year.

The growth in sales was supported by increased consumption, a wider customer base and revenue protection measures implemented by the company during the year.

"This year’s business performance reflects the Company’s sustained implementation of strategic initiatives focused on operational excellence, customer centricity, financial sustainability and human capital development.

"These initiatives supported growth in electricity demand and improvements in revenue, system efficiency, profitability and the Company’s overall financial position," Kenya Power Managing Director & CEO Joseph Siror said.

Kenya Power also reported a significant reduction in its financing costs during the financial year; finance costs fell by Ksh1.64 billion to Ksh3.08 billion, representing a 34.68% decline.

The company linked the reduction mainly to lower interest expenses following a decrease in outstanding loan balances, as it continued efforts to improve its debt position and reduce financing costs.

"The improved debt profile enhanced profitability and strengthened the balance sheet. This enabled continued investment in the network, customer access, digital capabilities and workforce rejuvenation, while enhancing shareholder value. Going forward, the Company will focus on translating its improved financial position into better service delivery and sustained shareholder value.

"Key priorities include grid automation, smart metering, revenue protection, customer-facing digitalisation, workforce renewal and infrastructure investment to support rising electricity demand. The Company will also pursue new revenue streams, strengthen regulatory readiness and support increased generation and transmission capacity," he added.

The company's balance sheet also strengthened, with total assets rising by Ksh32.45 billion to Ksh421.49 billion.

The increase was attributed to continued spending on the expansion, reinforcement and modernisation of the electricity network. 

Kenya Power invested Ksh28 billion in capital expenditure during the financial year.

The utility also recorded a major improvement in its working capital position, moving from a negative Ksh19.21 billion as of June 30, 2025, to a positive Ksh1.90 billion.

This represented an improvement of Ksh21.11 billion over the period, reflecting stronger financial management and improved liquidity.

Following the financial results, the Kenya Power Board of Directors recommended a final dividend of Ksh1.20 per ordinary share.

The proposed final payment will bring the total dividend to Ksh1.50 per share for the financial year.

Elsewhere, Kenya Power is set to connect Lodwar town and surrounding areas to the national electricity grid for the first time since independence.

In a statement on Monday, September 14, the company said it is implementing two major electricity projects aimed at connecting Lodwar, the commercial centre of Turkana County, to the national grid. 

The works involve construction of a 66/11kV Lodwar substation and a 90-kilometre 66kV transmission line linking Lokichar to Lodwar.

According to Kenya Power, the two projects are being financed by the Government of Kenya at a combined cost of Ksh1.01 billion.

Once operational, the new infrastructure is expected to provide stable, clean and reliable electricity to more than 80,000 people in Lodwar and neighbouring areas. 

The improved power supply will support households, schools, healthcare facilities and businesses while providing capacity for the town's growing electricity needs.