Nairobi — Liberty Kenya Holdings Wednesday issued a profit warning for the financial results ended 31 December 2021 anticipating at least 25 percent drop in profits attributed to the impact of COVID-19 on its businesses.
In a statement shared to shareholders, the insurance firm reported that it had significantly higher risk claims in 2021 which negatively impacted its consolidated financial results.
"Based on preliminary unaudited consolidated financial results, the board of the company wishes to announce that the consolidated earnings after taxation for the year ended 31 Deceber are likely to be lower by at least 25 percent than the audited earnings for the same period in 2020," it said.
The firm nonetheless that it had maintained a strong capital base, sufficient liquidity, and the ability to meet its obligations.
In the financial year ended 31 December 2020, the insurer saw a 1.9 percent decline in net profit to Sh676 million.