Flame Tree Holdings Plc has announced its half-year results for 2025, demonstrating a resilient performance despite facing significant external challenges such as inflationary pressures, high finance costs, and delays in insurance recoveries.In Kenya, the Group successfully launched plastic recycling operations for HDPE and PET materials while also investing in new machinery to expand production capacity. In Rwanda, growth was recorded following the introduction of new household product lines. The cosmetics division also posted gains, although these were impacted by newly implemented taxes. Across the region, the Group continued to prioritize operational efficiency, expansion of its product portfolio, and sustainable growth.
Flame Tree Holdings Plc performance in Ethiopia and Mozambique was affected by forex shortages, political unrest, and reduced demand. To address these challenges, the Group focused on strengthening local leadership, enhancing sales capabilities, and improving efficiency in both production and operations. Commenting on the results CEO Mr. Heril Bangera stated that the first half of 2025 reflected the Group’s resilience and the hard work of its team, underscoring strong momentum in East Africa. He emphasized that the Group’s investments in new capacity and recycling initiatives are laying the foundation for a more sustainable and competitive business. Despite ongoing challenges from high finance costs and insurance delays, he expressed confidence in the company’s well-established strategies and the opportunities ahead.
Flame Tree Holdings Plc Group reported a net loss of KES 73.4 million, an improvement compared to the previous year’s loss of KES 90.6 million marking a 15.73% reduction. Operating income stood at KES 81.1 million, down 10.59% from 2024, mainly due to reduced demand and lower operational activity.Revenue declined by 1.13% to KES 2.1 billion, while gross profit slipped marginally by 0.82% to KES 758.6 million, reflecting lower cost of sales. Total comprehensive income fell sharply by 612.3% to KES 132.5 million compared to the prior year.
On the balance sheet, the Group maintained a strong position. Total assets rose 5.79% year-on-year to KES 4.1 billion. Shareholders’ equity also increased by 5.6% to KES 1.4 billion. Total liabilities grew by 5.86% to KES 2.8 billion, indicating increased borrowing to support operations and investments. Flame Tree Holdings Plc remains focused on driving efficiency, expanding its market presence, and building long-term sustainability through strategic investments, even as it navigates a challenging operating environment across the region.
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