KenGen Profit Dips Slightly to Sh10.35 Billion as Finance Income Falls

Kenya Electricity Generating Company (KenGen) reported a slight decrease in net profit to Sh10.35 billion for the financial year ending June 30, 2026. This reduction was primarily due to a significant drop in finance income, which fell from Sh4.1 billion to Sh2.9 billion. Despite this decline, KenGen managed to reduce its finance costs by 12.1% to Sh2 billion through effective capital and debt management strategies.

The company's total borrowings also decreased by Sh12.2 billion to Sh97.1 billion, demonstrating a commitment to reducing its debt burden and improving its financial position. In response to the growing demand for electricity across the country, KenGen is planning to invest in additional generation capacity. KenGen Managing Director and CEO Peter Njenga highlighted the record electricity demand, with national peak demand reaching 2,549 megawatts (MW) on July 15, 2026.

This surge in demand underscores the need for a more robust and reliable power infrastructure to support the growing economy. KenGen remains a major provider of electricity to the national grid, supplying 8,975 gigawatt hours (GWh) of electricity, which accounted for 57.2% of the total electricity generated. The majority of this electricity, over 90%, is generated from renewable sources, mainly geothermal and hydropower.

Geothermal energy is particularly crucial to Kenya's electricity supply due to its stability and low dependency on weather conditions. Hydropower also plays a significant role in the national grid, although its output can be influenced by rainfall patterns and water levels in reservoirs. As the demand for electricity continues to rise, KenGen is committed to expanding its generation capacity and strengthening the electricity system to ensure the country can meet the increasing power needs of its growing population.