Eveready, EA Plc cut its net losses to KES 12 million in the financial year that ended 30 September 2022, compared to a net loss of KES 39 million posted in 2021.
Full-year operational performance recorded a loss before tax of KES 12 million, a 70% improvement compared to KES 39 million reported in the previous financial year, which was boasted by lean management, reduced the operating costs, which declined by 13% and gross profit improved by 9%.
The main contributor to the reduction in profitability levels in the period was the impact of the de-recognition of the deferred tax asset of KES 38 million.
The board informed the shareholders of the Company and potential investors that the Company’s financial net results for the year ended 30 September 2022 are expected to be lower compared to the same period in 2021.
The Auto batteries business segment remains the key driver of the Company’s recovery. The segment’s Key Performance Indicators (KPIs), volumes, gross cash profit and adjusted Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA) were ahead of the prior year, 2021, as the year 2020 pandemic period.
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