Listed commercial company, Nairobi Business Ventures (NBV) PLC, recorded a profit leap of 107% in the FY ended 31st March 2024 after registering a profit after tax of KSh 17.8 million, compared to 2023 figures which stood at KSh 8.6 million.
- The company attributed its revenue growth to increased sales in sodium silicate products, hitting KSh 412.7mn in 2024 compared to KSh 308.3mn the previous year.
- Liabilities fell by 55% due to reduced finance costs, falling from KSh 151.9mn in 2023 to KSh 22.6mn in the ended financial year, while administrative costs fell by more than 65%.
- The company’s net assets rose to KSh 670.8mn in 2024 from KSh 653mn recorded in the 2023 financial year but current and non-current assets saw a slight reduction.
“Profit before tax increased by 44% from KSh 25mn in 2023 to KSh 45mn for the year under review. To navigate these challenges, the company implemented several strategic initiatives including cost optimization measures and market expansion efforts, which played a crucial role in maintaining profitability,” NBV said in a statement.
The company’s automobile division saw a decline in revenue after registering KSh 420.87mn in 2024 compared to an impressive KSh 550mn in 2023. The aviation division of the listed company rose from KSh 38.4mn in 2023 to KSh 73.97mn this financial year. The revenue pie was divided as follows: trading division (45.48%), automobile division (46.37%), and the aviation division (8.15%).
NBV saw its tax obligations rise from KSh 6.6mn in 2023 to KSh 8.2mn this year. However, the profit margin was largely unaffected due to the significant reduction in finance costs and other major expenses.
NBV’s cash on cash equivalents at the end of the year stood above KSh 2mn whereas in 2023, that number was more than KSh 43mn. The company’s share price closed at KSh 2.34 yesterday, with an year-to-date loss of 13.3%. The company plans to further optimize costs and diversify investments in its aviation wing to survive market storms in the incoming financial year.
“The board and management remain committed to executing our strategy and focusing on profitable ventures that will deliver value to our shareholders,” the company concluded.
