Uchumi’s profit after tax for
the half year to June went up
by 7.6 per cent on account of
increased sales resulting from
expansion of branch network.
The retail chain posted a net
profit of Sh384.3 million, up
from Sh357 million realised in
a similar period last year.
The firm opened eight new
branches in Kenya and
Tanzania between October
2013 and June this year,
bringing the total branch
network to 37. The number
includes those in Uganda.
CAUTIOUS APPROACH
“Uchumi Group is expected to
grow in performance and
business base as the new
outlets mature. We have
adopted a cautious strategic
growth approach in the East
African region, an initiative
that will be fully supported by
the impending rights issue and
the effect of cross-listing in
EAC countries,” said the
supermarket chain in a
statement.
Uchumi shares trade at
bourses in Kenya, Uganda,
Tanzania and Rwanda.
The company said it had fully
settled a loan advanced by the
government to revive it after
it was placed under
receivership, with the last
instalment of Sh31 million
having been paid in June.
During the period under
review, its finance costs went
up from Sh16 million posted
last year to Sh64.6 million.
Sales increased marginally to
Sh14.4 billion from Sh14.3
billion realised last year.