Nairobi-Kenya
Crown Paints has registered a 46% pre-tax profit increase compared to last year’s results, company CEO Mr Rakesh Rao revealed yesterday.
Announcing the half year results at Stanley Hotel yesterday, Mr Rao said that the company’s profits now stand at Kshs 110 million for its half year that ended in 30th of June this year, compared to Kshs.75 million profit recorded last year.
Its turnover was placed at 16.5% while the net margin also improved by 5.2%, mainly due to better performance of subsidiaries. Mr Rao attributed the company’s improvement to product innovations and expansion of its operations into the East African region, citing Teflon, a surface protecting layer, a major contributor the growth.
“The introduction of Teflon surface protector to Matt Emulsion has been very successful and during this period, we launched our operations in Tanzania,” said Mr Rao.
Crown Paints Kenya, formerly known as Crown Berger Kenya, was recently named among Kenya’s top ten brands following a research by The Centre for Brand Analysis (TCBA), which is based in London.
With the Kenyan currency currently stable, the company expects a productive second half as interest rate is falling. However, with the forthcoming general elections, the paints manufacturer has been forced to take effective measures to sustain its profitability.
The company’s subsidiary in Tanzania holds the name Crown Paints (T), while the Uganda it trades under Regal Paints.
The writer is a Mass Communication Student, Multimedia University
