Unga Group profit before tax more than doubled to 744 million Kenyan shillings in the year ended June 30, as revenue rose 17% to 30.4 billion shillings, the company said in audited results.

The Nairobi-listed food and animal feed group, which reported profit before tax of 341 million shillings a year earlier, recommended no dividend for the year.

Operating profit rose 33% to 938 million shillings from 704 million shillings. Basic and diluted earnings per share rose 89% to 3.27 shillings from 1.73 shillings.

The company said the revenue growth came from higher volumes in both its Animal Nutrition and Human Nutrition businesses. It said tighter cost management and better operational efficiency turned that growth into stronger margins than in the previous financial year.

Finance costs fall

Finance costs fell to 261 million shillings from 395 million shillings, which Unga attributed to a more stable macroeconomic environment and steadier exchange rates. The lower costs added to the rise in pre-tax profit.

Profit for the year rose to 404.6 million shillings from 222.1 million shillings, an increase of about 82%. Of that, 247.9 million shillings was attributable to owners of the parent, up from 131.3 million shillings. The remainder went to non-controlling interests.

Income tax expense rose to 339.1 million shillings from 118.8 million shillings. The group’s share of profit from an associate rose to 62.9 million shillings from 29.2 million shillings.

Cash flow turns negative

Net cash flow from operating activities was an outflow of 1.48 billion shillings, compared with an inflow of 655.9 million shillings in the prior year. Unga said operating cash flow was affected by an increase in working capital.

The company said it built up working capital to support higher sales volumes and to absorb supply chain and logistics disruptions affecting imported key raw materials.

Tax paid rose to 563.6 million shillings from 29.4 million shillings. Cash generated from operations was an outflow of 681.5 million shillings, against an inflow of 1.04 billion shillings a year earlier.

Net cash from financing activities was an inflow of 1.76 billion shillings, compared with an outflow of 502.9 million shillings in the prior year. Net cash used in investing activities was 282.7 million shillings.

Cash and cash equivalents stood at 224.9 million shillings at the end of June, up from 190.0 million shillings a year earlier.

Balance sheet expands

Total assets rose to 15.13 billion shillings from 11.08 billion shillings. Current assets increased to 9.99 billion shillings from 5.86 billion shillings.

Current liabilities rose to 9.02 billion shillings from 5.34 billion shillings. Total equity was 5.70 billion shillings, up from 5.33 billion shillings.

Mixed segment performance

Unga said performance across its business segments was mixed. Animal Nutrition improved on market expansion, better route-to-market execution and greater customer penetration, which it said helped it gain market share.

Human Nutrition also grew, but margins stayed under pressure from intense price-based competition and volatility in key raw material costs, the company said.

During the year, Unga completed a biomass installation at one of its sites. The company described it as a cost-reducing measure aligned with its environmental, social and governance agenda.

Outlook

Unga said its priority is to turn improved year-on-year momentum into sustainable, profitable and cash-generating growth. It said it remains alert to global volatility in raw material supply chains, interest rate risk and currency risk.

The company said it will pursue growth responsibly while balancing commercial performance with disciplined capital allocation.

It said no dividend is recommended, consistent with its priority of reinvesting in capacity and margin recovery. The statement was issued by order of the board and signed by company secretary W Jumba on Oct 15, 2026.

PricewaterhouseCoopers LLP audited the results and expressed an unqualified opinion, according to the company. Unga’s portfolio includes consumer food and animal feed brands sold across Kenya.