Kakuzi Plc Board approves Sh24 per share dividend payout,earnings up Sh845.8Million

Kakuzi Plc has posted a Sh845.8 million net profit for the financial year ended December 31 2022, representing a 62 per cent growth compared to the Sh319 million posted in 2021.

The improved performance saw the firm’s board recommend a dividend payout of Sh24 per share for the period up from the Sh22 payout the previous year.

The dividends shall be paid on June 30 2023 to the shareholders on the members register as at the close of business on Wednesday May 31, 2023.

The firm’s Managing Director Chris Flowers attributed the earnings growth to increased production volumes of quality export-grade Avocado as well as other products experiencing reasonable sales.

The earnings, underpinned by total sales revenue amounting to Sh4.4 billion, up from Sh3.2 billion posted the previous year, Flowers said were also boosted by additional sales for forestry, livestock, and blueberry produce in the local market.

“The Kakuzi Plc market and product diversification strategies complimented by the enhanced environment, social and corporate governance commitments are paying off, as the trading results indicate. The diversification efforts help to mitigate market and production risks associated with agri-business however, international market trends will always impact our results,” Flowers said.

As part of the market diversification efforts, Kakuzi, is gearing to quadruple its export volumes to the Chinese market for its Hass Avocado variety fruit.he asserted

“Whilst the Chines volumes are relatively small at the moment, the development of this new market is critical to Kakuzi and Kenya. We will continue to engage trade partners in China, as well as work with the Kenyan authorities to open up new markets for avocados in our quest to grow the Kenyan avocado industry,” Flowers said.

To sustain production, Kakuzi has also expanded its Avocado orchards by a further 60 hectares, up from 927 hectares at a Sh120 million investment cost, to meet the ever-growing demand for quality superfoods globally.