Longhorn’s profit jumps 89% to Sh69 million

Listed book publisher Longhorn Plc has reported an 89% increase in profit after tax to Ksh68.8 million for the half year ended December 2018 up from the Ksh36.4 million it reported the same period the previous year.

The group’s Managing Director Maxwell Wahome notes that the increase in profit is attributable to improved efficiencies and sale of publishing rights in the regional markets which generated higher margins compared to the normal book sales.

Unaudited condensed results prepared by the company show that the publisher posted a Ksh90.1 million profit before tax, a 73% increase from the Ksh52 million profit it posted the previous year.

“Longhorn has continued to work closely with government in the supply of textbooks and has successfully completed the distribution of close to 500,000 copies of text books to public Secondary schools across the country,” said Wahome in notes accompanying the results.

Further, the company is projecting a strong H2 performance as it braces itself to supply Competency Based curriculum materials (CBC) for grades 1, 2 and 3 as the government phases out the 8-4-4 system.

Board Chairperson Francis Nyammo says that he is pleased with the digital transformation strategy implemented by the company’s management which has led to the repurposing of content in mobile platforms, audio and video forms.

Read: Longhorn banks on new MD to grow company’s revenue

“The Board is encouraged by the Group’s geographical diversification strategy which has seen continued growth of the markets in, Rwanda, Uganda, Tanzania, Malawi and Zambia. These unaudited financial statements were approved by the Board of Directors on 18 February 2019,” said Prof Nyammo.

See also: Longhorn Publishers appoints new CFO