TransCentury says 2013 profit fell by 30 percent
16 April 2014, 08:31
Nairobi - TransCentury Limited posted a 30 percent drop in its pretax profit for 2013 to 856.6 million shillings ($9.9 million), it said on Tuesday.
The company, which runs an electricity equipments maker and an engineering services firm active in the nascent petroleum and mining sectors in Kenya, blamed a slowdown in Kenya due to a presidential election in March, after the previous poll in 2007 was marred by violence.
The election passed off peacefully.
It said the outlook for this year's performance was positive as the energy equipment business rolls out new products and moves into new markets in Africa.
The engineering division is expected to contribute to earnings growth due to business from firms in the power, generation, oil and gas as well as mining sectors, TransCentury said.
TransCentury sold its 34 percent stake in Rift Valley Railways to Egypt's Citadel Capital last month, giving it access to about $40 million in cash that will fund the planned projects.
It recommended the payment of a dividend per share of 0.40 shillings, unchanged from the previous year. Earnings per share fell to 1.06 shillings from 1.66 shillings in 2012.