Eaagads Swings to KSh 4.39Mn Interim Profit as Costs Drop and Output Rises

Eaagads has swung back to profit in the six months to September 2025, posting Ksh 4.39M after a Ksh 15.14M loss last year.

• •The turnaround followed a 36% drop in production costs and stronger field performance, which helped offset a 9% fall in revenue to Ksh 94.77M.
• •The improvement comes against a long period of volatility in September results, where revenue has ranged from a high of Ksh 159M in 2022 to a low of Ksh 1.09M in 2023, and Profit after tax has often been negative, including thirteen of the last twenty years.
• •Gross profit rose to Ksh 31.80M from Ksh Ksh 2.49M as the estate aligned production to actual sales rather than carrying excess inventory.

The margin recovery stands out given the historical swings that have seen gross profit move from a Ksh 51.53M gain in 2022 to losses such as Ksh 27.98M in 2019 and Ksh 70.05M in 2013.

Fair value gains on biological assets increased to Ksh 1.84M from Ksh 0.51M. Profit before tax reached Ksh 8.23M after a Ksh 16.18M loss a year earlier, and cash on hand rose to Ksh 38.88M from Ksh 34.59M.

Clean coffee output increased 30% to 175 tons from 134 tons, with 100 tons sold in the period. Management said early flowering and tighter field practices supported the improvement and kept production costs matched to volumes, protecting margins despite weaker revenue.

The estate revised its 2025 to 2026 production forecast to 270 tons after late flowering reduced expected yield. Total equity fell to Ksh KSh 1.298B from KSh 1.421B after lower revaluation gains. Current assets stood at KSh 91.47M compared with Ksh 93.80M. No interim dividend was declared.