A Carbacid East Africa truck Listed investments firm Carbacid Investments has announced an 18 per centincrease in net profit in its half-year results.
The firm recorded Sh210million in profit for the half year ended 31 January 2021 from Sh178million recorded in the same period last year.
Despite the challenges posed by the Covid-19 pandemic in the trading period under review, the firm whose main operating subsidiary Carbacid (CO2) Limited is the region’s leading producer of food-grade carbon dioxide had a total turnover of Sh450 million up from Sh353 million.
The turnover growth grew 27 per cent on increased sales of natural food-grade carbon dioxide.
Buoyed by higher sales and process improvements to boost efficiency, its operating profit jumped 28 per cent to Sh178 million, up from Sh139million despite increasing operational and regulatory compliance costs.
CIL Chairman Dennis Awori said the firm had stepped up efforts to enhance its returns on investments.
As part of the measures, he said that the firm is pursuing a growth strategy focusing on expansion into additional business lines. We have stepped up efforts to enhance returns on investments “Such expansion will be pursued through both organic growth in combination with acquisitions that can complement CIL’s existing portfolio,” Awori added.
CIL has placed a bid to acquire up to 100 per cent of BOC Kenya Plc’s ordinary shares.
Following the Capital Markets Authority (CMA) approval, the offer period for acquiring the shares from BOC Kenya minority shareholders is already underway and closes on 6 April 2021.
“The combination of BOC Kenya’s product portfolio and services with Carbacid’s existing business is an excellent match that will position the enlarged group to become the East and Central African regional supplier of choice for carbon dioxide gas and related products, industrial, medical, special gases, related equipment and services,” Awori said.
“The enlarged group will also provide greater opportunities for employee development, advancement and growth for both BOC and the CIL Group.”
