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The board of directors at E.A Portland Cement fired the firm’s CEO Peter Nkeri during a board meeting held on 17th May due to poor financial performance. In February 2019, the CEO was sent on compulsory leave after the company posted a KSh1.26 billion half-year loss.
Mr. Nkeri took up the role of CEO at the cement company from Kephar Tande in August 2016.
The firm’s total revenue dropped by 55 per cent from KSh3 billion to KSh1.4 billion in the half year period to December 2018. The cement manufacturing sector has endured a rough time due to stiff competition from international brands and harsh economic conditions. The result has been lower earnings for the businesses.
The three main cement producers, ARM Cement, Bamburi Cement, and E.A cement, posted over 25percent drop in their net earnings in the latest financial reports.
The company seeks to raise KSh17 billion to jumpstart its production through the sale of non-essential assets like land.