Umeme managed to reduce its finance costs by 36.2 percent, dropping to USh16 billion ($4 billion) after repaying all term loans in December 2023.
However, these gains were offset by a rise in the income tax charge, which increased to USh11 billion ($3 million) from USh3.5 billion ($941,824) in the same period in 2023. The higher tax liability was driven by performance on profit before tax.
The company's net operating cash flow also fell sharply, decreasing from USh221 billion ($59 million) in 2023 to USh112 billion ($30 million) in the first half of 2024. This decrease was due to reduced payables and delays in government payments.
Preparing for concession expiryAs Umeme's concession nears its end, Chairman Patrick Bitature emphasized the need for a smooth transition of assets back to the Ugandan government. Bitature reassured stakeholders that Umeme is committed to ensuring a seamless re-transfer process while protecting the interests of customers, staff, and shareholders.
