Longhorn Publishers posted a fourth consecutive annual loss for the financial period ended 30 June 2025 as revenue dropped following delays in CBC procurement approvals.
- •Revenue fell 56% to KSh 680 Mn from KSh 1.54 Bn after final curriculum approvals in January 2025 shifted KSh 463 Mn of expected orders into the next financial period.
- •Loss after tax worsened to KSh 261 Mn from KSh 238 Mn.
- •Operating loss was KSh 35 Mn compared to an operating profit of KSh 165 Mn the prior year while total comprehensive loss narrowed to KSh 5 Mn due to translation effects.
According to the publisher, the transition from 8-4-4 to CBC required heavy investment in new learning content. The company incurred KSh 714 Mn in development costs, KSh 254 Mn in impairments, and KSh 149 Mn in write offs. Rationalisation of early CBC materials also required replacement of first edition products.
Financial Performance
| Metric | FY2025 | FY2024 | YoY % Change |
|---|---|---|---|
| Revenue & Other Income | 679.9 Mn | 1,538 Mn | ▼ 55.8% |
| Cost of Sales | 521.0 Mn | 1,208 Mn | ▼ 56.9% |
| Gross Profit | 158.9 Mn | 330.5 Mn | ▼ 51.9% |
| Operating Expenses | 328.1 Mn | 411.0 Mn | ▼ 20.2% |
| Finance Costs | 203.9 Mn | 204.6 Mn | ▼ 0.3% |
| Loss Before Tax | 373.1 Mn | 285.1 Mn | ▲ 30.9% |
| Income Tax Credit | 111.7 Mn | 47.22 Mn | ▲ 136.6% |
| Loss After Tax | 261.4 Mn | 237.9 Mn | ▲ 9.9% |
| Total Comprehensive Loss | 5.321 Mn | 266.4 Mn | ▼ 98.0% |
| Total Assets | 2,231 Mn | 2,070 Mn | ▲ 7.8% |
| Total Equity | 18.11 Mn | 23.43 Mn | ▼ 22.8% |
| Borrowings (Current Only) | 442.4 Mn | 1,039.5 Mn | ▼ 57.5% |
| Cash & Cash Equivalents (Closing) | 89.02 Mn | 8.033 Mn | ▲ 1,008% |
Operating expenses fell 20% to KSh 328 Mn. Finance costs were stable at KSh 204 Mn. Current borrowings fell to KSh 442 Mn from KSh 1.04 Bn after debt restructuring extended maturities. Cash and cash equivalents increased to KSh 89 Mn from KSh 8 Mn.
Outlook
Management expects lower development spending going forward. The company projects improvement in textbook demand after alignment of procurement cycles to the revised CBC structure.
Digital learning usage has expanded to more than 300 schools and 50,000 learners. Management positions digital products as an additional revenue channel alongside physical textbook supply.
