KenGen Reports 54% Surge in Profit, Strengthening Kenya's Clean Energy Drive

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KenGen Reports 54% Surge in Profit, Strengthening Kenya's Clean Energy Drive.

KenGen Managing Director and CEO, Eng. Peter Njenga, speaks during the release of the company’s financial results in Nairobi.

By Jeff Oyugi 

Nairobi - October 31, 2025

The Kenya Electricity Generating Company PLC (KenGen) has announced robust financial results for the year ended June 30, 2025, underscoring its vital role in powering Kenya's economy while advancing the nation's transition to clean energy.

The Nairobi Securities Exchange (NSE) listed power producer posted a 54 percent increase in profit after tax to Ksh.10.48 billion, up from Ksh.6.80 billion in 2024. Profit before tax rose by 42 percent to Ksh.15.47 billion, buoyed by enhanced operational efficiency, disciplined cost management, and increased generation from its diversified renewable energy portfolio.

“KenGen's performance this year reflects the strength of our strategy, our people and our commitment to sustainable energy," said Eng. Peter Njenga“As we build on this momentum, we remain dedicated to powering Kenya's future with clean, reliable and affordable electricity.”

Revenue for the year held steady at Ksh.56.10 billion, compared to Ksh.56.30 billion in 2024, while income from non-traditional sources surged by 235 percent, reflecting growth in KenGen's diversification and consultancy business, including the successful completion of geothermal drilling works in Eswatini.

Operating expenses declined by 11 percent to Ksh.35.14 billion, supported by lower depreciation charges and reduced overheads as a result of ongoing efficiency initiatives. The company also benefited from net foreign exchange and fair value gains of Ksh.1.45 billion, reversing a Ksh.722 million loss in the previous year following stabilization of the Kenya Shilling.

Finance costs fell by 20 percent to Ksh.2.25 billion, aided by consistent loan repayments and a reduction in the company's overall debt burden. Total assets rose to Ksh.505.6 billion, up from Ksh.491.3 billion a year earlier, while shareholder equity increased to Ksh.284.5 billion. Cash and cash equivalents closed the year at Ksh.30.1 billion, up from Ksh.25.6 billion in 2024.

KenGen maintained strong operational output amid rising national energy demand. Kenya's peak electricity demand reached a record 2,392MW in August 2025 a 5 percent increase from the previous year.

The company's installed generation capacity stands at 1,786MW, drawn from a mix of geothermal, hydro, wind and thermal sources. During the year, KenGen generated 8,482GWh of electricity, representing a 1 percent increase compared to 2024.

Looking ahead, KenGen reaffirmed its commitment to its G2G 2034 Strategy, which seeks to accelerate renewable energy development and diversify revenue streams. Its current project pipeline totals 253MW, including the 63MW Olkaria I geothermal expansion, the 42.5MW Seven Forks Solar Project, and the 8.6MW Gogo Hydro Power Plant upgrade.

The company is also advancing its regional expansion agenda, with preparations underway for a geothermal drilling project in Ngozi, Tanzania, marking a significant step in its cross-border ambitions.

“As we move forward, KenGen's leadership in renewable energy and our ongoing commitment to innovation and sustainability will remain at the core of everything we do," said Eng. Njenga. “We are not just providing energy, we are helping shape a greener, more sustainable future for Kenya and the region.”

KenGen is the leading electricity generation company in Eastern Africa, commanding over 60 percent of Kenya's installed generation capacity. The company's total installed capacity of 1,786MW is sourced primarily from green energy, with hydro (826MW), geothermal (754MW) and wind (25.5MW) accounting for about 90 percent of its output, complemented by thermal generation.

KenGen's mission remains to provide safe, reliable and competitively priced electricity in an environmentally sustainable manner while creating value for its shareholders and contributing to Kenya's socio-economic growth.

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