Kenya Power has reported a 5.5 per cent growth in pre-tax profits to Sh14.8 billion for the half year period ended December 31, 2025.
Management said the improved performance was due to a 10.5% surge in electricity sales and lower finance costs.
The electricity distributor hiked its interim dividend by 50 per cent to Sh0.30 per share to be paid on 27th March 2026 to shareholders on the company’s register at the close of business on 23rd February 2026.
Revenue from electricity sales grew 6.9 per cent to Sh114.87 billion, up from Sh107.43 billion reported in the prior year. The growth in revenue was driven by electricity unit sales which grew 10.5 per cent to 6,086 GWh.
The cost of purchasing power from generators rose by Sh5.33 billion to Shs76.7 billion, which the company said was driven by higher electricity demand.
National power consumption reached record highs in November as peak demand climbed to 2,418.77MW.
Distribution efficiency, a measure of the share of purchased power that was sold to paying customers, improved from 76.35 per cent to 77.97 per cent.
A distribution efficiency of 77.97 per cent means over 22 per cent of purchased power is lost through faults, theft or unmetered supply.
Operating expenses climbed 8.3 per cent to Sh25.2 billion from Sh23.7billion, primarily due to higher provisions for expected credit losses, increased depreciation from capitalized network projects, and staff-related costs.
Finance costs fell by Sh492 million to Sh1.48billion due to lower interest expenses following loan repayments and reduced debt levels. Total borrowings decreased by 6% to Sh84.2 billion as at 31 December 2025.
The company's working capital position improved, moving from negative Sh19.2 billion as at 30 June 2025 to negative Sh12.54 billion as at 31 December 2025.
Kenya Power is expected to apply for a review of its power tariffs by the end of the current financial year, with the current tariffs in place coming to an end in June.
