Kenya Electricity Generating Company PLC (KenGen), East Africa’s leading electricity generator, announced a record dividend payout totaling Ksh.4.3 billion to its shareholders on Wednesday, March 12, 2025.
The payout included a disbursement of Ksh.3 billion to the Government of Kenya, the company’s majority shareholder.
This marked a 117% per-share increase over the previous year, following a profit after tax of Ksh.6.8 billion for the year ended June 30, 2024.
KenGen disclosed this in a statement issued on Wednesday, March 12, 2025.
Earlier, on February 13, 2025, KenGen paid out 30% of the dividend, amounting to approximately Ksh.1.3 billion, to private and institutional shareholders.
Cabinet Secretary for National Treasury and Economic Planning, John Mbadi, praised KenGen, saying, “We are immensely proud of KenGen as a model of excellence for the National Treasury. Their stability, cost efficiency, and reliability in energy supply are key indicators of our nation’s economic performance.”
State Department for Energy Permanent Secretary Alex Wachira noted, “KenGen is well-run, consistently delivering profit year after year. Moving forward, our focus will be on supporting new projects in geothermal, hydro, solar, and wind through backing from the National Treasury to help access funds from development partners.”
KenGen Chairman Agoi attributed the achievement to sustained efforts to boost electricity generation, enhance operational efficiencies, and execute prudent financial management. “Our dividend payout is not merely a financial milestone but a clear reflection of effective policy collaborations and our commitment to Kenya’s growth.”
CEO, Eng. Njenga, echoed these sentiments, adding, “Our performance demonstrates our ability to balance immediate shareholder returns with long-term investments in Kenya’s energy future. This dividend is a tangible affirmation of our strategic focus, which has optimized our operations and reinforced our leadership in the power generation sector.”
During the formal cheque handover ceremony, Hon. Mbadi commended the Ministry of Energy and Petroleum and KenGen for a rare occasion where the government receives money from local agencies.
The substantial increase in dividend payout is expected to boost investor confidence in KenGen shares, reaffirming the company’s position as one of the top dividend-paying stocks on the Nairobi Securities Exchange. The Government of Kenya owns a 70% stake in the NSE-listed company, while private investors own 30%.
Source: https://energynewsafrica.com
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