The largest power producer in East Africa, Kenya Electricity Generating Company PLC, has increased its dividend on the back of a strong financial year, underlining the pace of its growth strategy. KenGen announced the increase in dividend on Thursday during the company’s 73rd Annual General Meeting in Nairobi.
Strong Performance Underscores Confidence in the KenGen Growth Strategy
A first and final dividend of Ksh.0.90 per ordinary share for the financial year to June 30 was approved by shareholders, up from Ksh.0.65 a year earlier. Increased earnings have allowed the company to increase this dividend payment, as after-tax profit surged 54% to Ksh.10.48 billion on the back of stricter cost controls, stronger revenue lines, and a foreign exchange boost. These results further reinforce the strength of the KenGen growth strategy.
KenGen Chairman Hon. Alfred Agoi said that the increased dividend signals confidence in both the performance and long-term direction of the company.
“This dividend uplift is more than a reflection of solid financial results; it affirms our commitment to delivering consistent value to shareholders,” he said. “We continue to optimize operations, widen revenue opportunities, and unlock new regional prospects. Our ambition is to secure steady returns while accelerating Kenya’s clean energy journey.”
The broader economy of Kenya remained resilient in the year 2024–25, driven by increasing energy demand fueled by industry growth. National power consumption reached a record high in November, with peak demand reaching 2,418.77MW and energy dispatch at 44,555.80MWh.
KenGen remained at the core of the national grid, providing an estimated 60% of the country’s electricity. It has an installed capacity of 1,786 MW and produced 8,482 GWh during the financial year. Although revenue remained constant at KES 56.1 billion, income from diversified operations jumped 235%, propelled by geothermal consultancy contracts in Eswatini and deeper regional engagements – one of the key pillars of the KenGen growth strategy.
Operating costs decreased 11% to Ksh.35.1 billion because of operational efficiencies, while net foreign exchange and fair value gains increased to Ksh.1.45 billion, reversing last year’s losses. Finance costs also reduced on the back of loan repayments, indicative of progress in KenGen’s shift toward a healthier balance sheet.
The Managing Director and CEO, Eng. Peter Njenga, said that the performance reflects disciplined execution of the company’s long-term priorities.
“Our results speak to our positioning as a regional renewable energy leader,” said Eng. Njenga. “We have strengthened efficiencies, broadened our geothermal consultancy work, and fast-tracked new generation capacity both in Kenya and across the region-core pillars of the KenGen growth strategy.”
KenGen continues to advance its G2G 2034 Strategy and aims to deliver an additional 1,500 megawatts of new renewable capacity and 500MWh of energy storage to further enhance Kenya’s energy security and low-carbon industrialization trajectory.
The company is in talks for the support of the proposed 700MWh High Grand Falls hydropower project and is considering energy storage solutions, including but not limited to battery systems and pumped hydro.
Regionally, KenGen has been expanding its geothermal consultancy footprint with active and emerging projects in Ethiopia, Djibouti, Eswatini, Ngozi, and Bhutan. A partnership deal with Toshiba ESS targets further scaling of geothermal operations and maintenance services across developing markets.
Kengen Geothermal Training Centre remains a destination for specialists in Africa and Asia, further cementing Kenya’s status as a global geothermal knowledge hub. Going into 2026, KenGen has a pipeline of projects amounting to 252MW, including the 63MW Olkaria I Rehabilitation, the 42.5MW Seven Forks Solar project, and the expansion of the 8.6MW Gogo Power plant in Migori County.
These projects, when completed, should achieve improved grid stability, increased industrialization, and accelerated renewable energy transition for the country-a set of outcomes envisioned in the KenGen growth strategy.
“Our investment priorities remain focused on delivering sustainable energy, creating shareholder value, and supporting Kenya’s industrial transformation,” Eng. Njenga said.
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