Bamburi cement. [Photo/the-star.co.ke]
Bamburi Cement has issued a profit warning for the period to December 2017.
The cement manufacturer has blamed political uncertainties, interest rate cap and drought conditions earlier in the year.
According to Bamburi, its full-year net earnings will fall by at least a quarter compared to last year “based on a preliminary assessment of the unaudited accounts”.
“The expected decrease is mainly attributable to weaker performance of business as a result of contraction of the cement market partly due to poor private sector credit growth, drought conditions together with effects of pre- and post-election periods,” the firm, which is listed on the Nairobi Securities Exchange, said in a notice to investors on Thursday.
Bamburi cement also said export volumes have also dropped this year.