Kenyan TransCentury expects jump in profit
17 April 2012
Reuters - 17 April 2012
Kenya's TransCentury (TCL.NR) expects net profit for the first half of this year to surpass full year profit for 2011 after it tripled capacity at its electric cable and transformer plants, its chief executive said on Monday.
Founded just over 10 years ago as an investment club, the firm has grown into a specialist infrastructure company with interests in power, transport and engineering thanks to rapidly growing demand for energy and infrastructure in the region.
"By half year, profitability will be above what we did the full year, for the simple reason that all our businesses are in the expansion phase where we are growing our market," Gachao Kiuna told the Reuters Africa Investment Summit.
He attributed the projected growth in net profit from 616 million shillings ($7.4 million) last year to the acquisition of Civicon, an engineering and transport firm, and increased production of cables, transformers and switchgear.
TransCentury is the regional market leader in the production of the equipment and controls East African Cables (CABL.NR).