An increase in sales has seen fruit exporter Kakuzi Plc record a 75 percent rise in half-year profit as earnings hit Kes341.3 million from Kes194.6 million during a similar period last year.
The rise in net profit for the NSE listed firm is attributable to improved sales with turnover for the company hitting Kes1 billion from Kes888.9 million in June 2021.
“The prices for early season avacados were very poor, but they have slowly recovered as the months progressed,” said Chris Flowers, Kakuzi Plc managing director.
“As the Avocado harvest season comes to a close next few months, we are anticipating higher avocado exports, this ‘ON’ year cropping cycle while our diversification strategy continues to gain steam,” he added.
As part of the firm’s revenue, product and market diversification strategy, the domestic sales for macadamia and blueberries have been stepped up while avocado exports to China have just started, the company said.
“Diversification of income streams remains a key strategic goal for Kakuzi. Currently, we have two main export products, avocados and macadamia, but through strategic investments, we believe that blueberry production will become the third pillar,” explained Kakuzi Chairman Nicholas Ng’ang’a.
The Nairobi Securities Exchange-listed company is already in talks with California-based Driscoll, the global market leader in fresh strawberries, blueberries, raspberries and blackberries to help streamline Kakuzi’s exports in the US and across the world.
The board of Kakuzi Plc has not recommended the payment of an interim dividend at the end of the half-year cycle.