East African Cables reports loss on output disruptions
25 August 2015, 19:51
Nairobi - East African Cables,
which makes cables for the utility and telecoms industries,
reported a loss of 97.6 million shillings ($941,176) for the
first six months of 2015, citing disruptions to output as it
upgrades a factory in Kenya.
The company reported a pretax profit of 326.5 million
shillings in the same period last year.
"The refurbishment is expected to be fully completed in
September 2015 and thereafter the capacity of the factory will
be significantly increased," it said, after reporting a 22
percent decline in group revenue in the first six months.
It said the Kenya business remained profitable despite
interruptions but said the Tanzania operation was heavily
impacted by foreign exchange losses.
"The directors expect improved financial performance in the
last quarter of the year, driven by a strong order book and
completion of the factory refurbishment," it said.
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