Listed oil marketing company TotalEnergies Marketing Kenya Plc has reported a 51% decline in net profit to KSh 1.49 billion for the year ended 31 December 2024, down from KSh 3.02 billion in 2023.
- •The sharp drop was attributed to reduced sales, aggressive price competition, rising finance costs, and increased operating costs not fully covered in margins.
- •The performance confirms the profit warning issued by the company in December 2024, which had alerted investors to expect a drop of over 25% in annual earnings.
- •A key tailwind came from foreign exchange gains “driven by the appreciation of the local currency during the year”, which rose to KSh 2.07 billion, reversing a prior year loss of KSh 385 million.
Total revenue for the year fell by 3.2% to KSh 151.5 billion, while gross profit dropped by 30% to KSh 8.99 billion. The company explained that margins were primarily impacted by “reduced sales compared to the previous year, aggressive price competition and increased costs not fully covered in the margins.”
Operating expenses declined from KSh 8.04 billion to KSh 7.51 billion, which the company attributed to “robust cost control measures and discipline.” However, finance costs jumped to KSh 3.83 billion, up from KSh 2.32 billion in 2023, “reflecting the increased cost of borrowing.”
FY2024 Financial Summary (KSh ‘000)
| Metric | 2024 | 2023 | Change |
|---|---|---|---|
| Revenue | 151,487,770 | 156,432,095 | ↓ 3.2% |
| Gross Profit | 8,993,726 | 12,835,683 | ↓ 29.9% |
| Profit Before Tax | 2,063,131 | 4,619,420 | ↓ 55.3% |
| Profit After Tax | 1,487,433 | 3,022,924 | ↓ 50.8% |
| Finance Costs | 3,830,463 | 2,319,090 | ↑ 65.2% |
| Forex Gain / (Loss) | 2,072,802 | (385,142) | Rebound |
| Earnings Per Share (EPS) | 2.36 | 4.80 | ↓ 50.8% |
Total assets stood at KSh 67.93 billion, down from KSh 75.32 billion the previous year. Cash and bank balances increased to KSh 11.44 billion, supported by KSh 7.34 billion net cash generated from operating activities.
“Investments of KShs 2,475 million (2023: KShs 2,259 million) were made in line with the business strategy to enhance logistics, expand the network, and continue developing a profitable and sustainable multi-energy company,” the report added.
The board has proposed a first and final dividend of KSh 1.92 per share for FY2024, unchanged from 2023.
“The Directors recommend payment of a first and final dividend of Kshs 1.92 per share for the year ended 31 December 2024 (2023: Kshs 1.92) payable on or around 31 July 2025, subject to shareholders’ approval at the 71st Annual General Meeting.”
- •Book Closure: 27 June 2025
- •AGM Date: 27 June 2025 (to be held electronically)
- •Payment Date: On or about 31 July 2025
| Year | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2015 |
|---|---|---|---|---|---|---|---|---|
| Dividend | 1.92 | 1.31 | 1.31 | 1.57 | 1.30 | 1.30 | 1.30 | 0.70 |
| Year | 2014 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 |
|---|---|---|---|---|---|---|---|
| Dividend | 0.60 | 1.05 | 1.05 | 2.50 | 2.50 | 2.50 | 2.50 |
Looking ahead, the company stated:
“The priority focus for the Company will continue to be on safety, operational excellence, profitable growth, and positive cash flow generation.”
It also reiterated its intention to focus on “renewable energy sources and sustainable solutions to meet the growing demand for clean energy in Kenya.”
However, it acknowledged that its operations remain vulnerable to several risks:
“Due to the nature of the business, the Company’s activities remain exposed to market risks (such as sensitivity to environmental parameters of the oil and financial markets), environmental risks related to the Company’s operations, and political or geopolitical risks that could potentially impact the operating environment.”
