Par Value: 5/-
Closing Price: 37.00
Total Shares Issued: 142,000,000
Crown Paints reports FY 2021 Earnings
FY Revenue from contracts with Customers 10.733b versus 9.192b
FY Profit before Tax 1.124b versus 0.863b
FY Profit after Tax 731m versus 600m
FY EPS 6.85 versus 8.42
weighted average number of share outstanding 107m versus 71m
Number of shares issued 142m versus 71m
Cash and cash equivalents at end of year 660m versus 303m
Final Dividend 4 shillings a share
Following the outbreak of the COVID-19 pandemic in 2020, the epidemic continued to present significant challenges in 2021 to the health and business sectors.
The measures that had been instituted to control its spread remained in place but were relaxed as the year progressed .
The strengths of Crown paints brand and our network of stakeholders and their resilience continued to yield better returns and this is hoped to remain into the foreseable future.
The Group’s turnover for the year ended 31 December 2021 grew by 17% (KShs1.5 billion) to KShs 10.7 billion in comparison with year 2020 which had a 7% (KShs 588 million) increase to KShs 9.1 billion against the year 2019.
Similarly, the operating profit before tax, for year ended 31 December 2021 rose by 30% (KShs 264 million) to KShs 1.1 billion compared to the year ended 31 December 2020 where a 63% (KShs 335 million) growth to KShs 863 million was attained against the year ended 31 December 2019.
The increase in turnover was offset by an increase in cost of sales and the general increase in operating costs due to price inflation.
For the year ahead, after adapting to the lessons learnt from the pandemic, we have redefined innovative approaches of doing business in respect of the focus on the well being of our employees, how to cope with new multifaceted challenges, the use of virtual environment and positioning of information technology to drive our business.
In addition to resurgence of the pandemic in some key global strategic markets, the year 2022 is witnessing unfolding economic constraints ranging from volatility in the foreign exchange rates, scarcity of major foreign exchange currencies, inflation, lockdowns affecting supply chains, general shortage of commodities in the market and changes in the geopolitical environment.
As a result of these factors, the cost of raw material has risen pushing the cost of living and doing business.
Our company shall continue to assess its position to ensure that the core strengths of our brand and our network of stakeholders remain robust to continue delivery of modest return to our shareholders.