Newly listed packaging material manufacturer Shri Krishana Overseas Limited (SKL) has issued a profit warning, anticipating a drop of more than 25 percent in its 2025 full-year earnings. This decline is attributed to increased borrowing costs associated with its Kisaju expansion project.

• SKL's half-year profits plunged from Sh6 million to Sh2 million due to long-term borrowings surging to Sh113 million.
• The company, which listed on the Nairobi Securities Exchange on July 24, 2024, highlighted these costs as "strategic investments" for future capacity.
• Despite a 6 percent dip in half-year revenues to Sh158 million, operating costs decreased by 9 percent to Sh29.9 million due to tightened expenditure.

The Enwealth Umbrella Pension Fund significantly increased its assets under management by 49 percent to Sh1.056 billion in 2024, marking a strong performance in Kenya's retirement savings sector.

• The fund's assets grew from Sh724 million in the previous year, driven by improved equity and fixed-income returns.
• Kennedy Mwonyoncho, Director at Enwealth Financial Services, attributed the growth to prudent investment strategies.
• The Retirement Benefits Authority (RBA) reported total pension assets in Kenya are valued at Sh2.25 trillion, with pension coverage at approximately 26% of the working population.
• George Kamau, Portfolio Manager at ICEA Lion Asset Management, projected strong returns for 2025, supported by an anticipated 5.3 percent GDP expansion and appreciation of the Kenyan shilling.

Newly listed on the Nairobi Securities Exchange, Shri Krishana Overseas PLC has issued a profit warning after its half-year net profit for H1 2025 plummeted by 70.4% due to surging borrowing costs associated with its expansion plans.

• Net profit for H1 2025 fell to KSh 2.0 million from KSh 6.85 million in the prior year.
• The packaging solutions firm attributed the decline to a 53.5% surge in finance costs to KSh 15.9 million, driven by increased long-term borrowings for its new Kisaju, Kajiado County facility.
• The board warned that full-year profits will decline by more than 25%, as per regulatory requirements.

Unga Group Plc has returned to profitability, reporting a KSh 222.1 million net profit for the year ended June 30, 2025, after two consecutive years of losses. This turnaround was driven by stronger sales, reduced finance costs, and tight cost controls.

• Net earnings rose significantly from a KSh 669.6 million loss in FY2024.
• Unga Group Plc withheld dividends to bolster liquidity and rebuild its balance sheet.
• Revenue increased by 10% to KSh 26.13 billion from KSh 23.70 billion, with operating profit reaching KSh 704.1 million.