{
  "id": 3717540,
  "title": "Zuku owner Wananchi Group posts Sh806mn H1 loss",
  "url": "https://urgent.news/2026/08/27/zuku-owner-wananchi-group-posts-sh806mn-h1-loss",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-27T10:30:39.000Z",
  "source": {
    "name": "Capital Business",
    "slug": "capital-business",
    "url": "https://capitalfm.africa/zuku-owner-wananchi-group-posts-sh806m-h1-loss/"
  },
  "original_language": "en",
  "account": "NAIROBI, Kenya – Wananchi Group, the parent company of internet and telecommunications provider Zuku, reported a net loss of Sh806 million ($6.2 million) for the first half of 2026. Financial results indicate the company generated revenue of Sh3.55 billion ($27.3 million) during the six months ending June 2026. This loss contributed to a decrease in the parent group's net profit by $44.9 million compared to the same period last year. The group attributed the decline to the $6.2 million loss suffered by Wananchi, along with an $80.5 million adverse fair-value movement primarily due to its stake in Jumia. Without these factors, the group would have seen a $41.8 million increase in profit for the period. Despite this setback, overall group revenue rose by 26.5 percent, reaching $980 million in the first half of 2026, up from $774.9 million the previous year. Wananchi contributed $27.3 million to the group's revenue, while earnings from operations outside Kenya increased by 22.9 percent. The improvement was largely driven by stronger performances in Tanzania and Madagascar, with their revenues growing by $38.5 million and $26.5 million, respectively. Revenue from Senegal, Togo, Comoros, and Uganda also showed year-on-year growth. However, operating costs surged by 21.2 percent, impacting earnings. Wananchi alone reported a $3.9 million loss for the second quarter and contributed $12.5 million in revenue to the group. The company is operating in a highly competitive landscape in Kenya's broadband and pay-TV markets, where providers are investing in fiber networks while striving to maintain affordable pricing. Wananchi, through Zuku, offers fiber broadband, internet, and pay-TV services across Kenya and other African markets. The group believes its underlying performance would have been stronger without the Wananchi loss and the fair-value impact, with net profit potentially increasing by $41.8 million. This improvement was driven by higher operating profits, increased earnings from associates, and reduced finance costs.",
  "summary": "The Kenyan internet and telecommunications provider generated revenue of Sh3.55 billion in the six months to June, according to financial results released by the parent group.",
  "key_points": [
    "Wananchi Group reports Sh806mn H1 loss for Zuku",
    "Revenue reaches Sh3.55bn with 26.5% increase",
    "Revenue from Tanzania and Madagascar grows significantly"
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Investing.com",
        "title": "Earnings call transcript: Great Elm Group posts strong Q4 2026 revenue growth",
        "url": "https://urgent.news/2026/08/27/earnings-call-transcript-great-elm-group-posts-strong-q4-2026-revenue",
        "published": "2026-08-27T13:06:47.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}