Kakuzi Returns to Profit with KSh 387.5 Million Earnings and a Doubled Dividend

Kakuzi Plc swung from a KSh 131.6 million loss in 2024 to a KSh 387.5 million profit after tax in 2025, driven by a near-doubling of avocado profits, a five-fold recovery in macadamia earnings, and a first-ever blueberry profit.

The board declared a first and final dividend of KES 16.00 per share, double last year’s payout.

FY2025 Results at a Glance

Table 1: Kakuzi Plc key financial metrics, FY2024 vs FY2025 (KES). Revenue growth estimate is approximate; FY2024 comparator derived from disclosed information. 

From Loss to Profit: What Drove the Turnaround

A year ago, geopolitical disruptions, logistical bottlenecks on the Red Sea shipping route, and pest pressure combined to push Kakuzi into a KSh 131.6 million after-tax loss. In 2025, the same headwinds persisted — the Red Sea route reopened but remained unreliable, European avocado prices stayed under pressure from competing suppliers, and pest pressure intensified nationally. What changed was the group’s ability to generate volume and value despite those conditions.

Total revenue reached KSh 5.4 billion. Pre-tax profit recovered to KSh 568 million from a KSh 167 million loss. After tax, the group earned KSh 387.5 million, a result Chairman Nicholas Ng’ang’a described as commendable on the back of tighter governance and sustainable operations.

Segment by Segment: Avocado Leads, Macadamia Recovers, Blueberry Turns

Table 2: Kakuzi Plc segmental operating profit, FY2024 vs FY2025 (KES). All three operating segments moved from loss or subdued profitability into positive or improved territory in 2025.

Avocado: Higher Volumes, Persistent Headwinds

Avocado remains Kakuzi’s largest and most profitable segment, generating KSh 709 million in operating profit, up 96 percent from KSh 361 million. Production rose 23 percent, and the group shipped 525 export containers against 446 the previous year. Yet the numbers would have been better in a less disrupted market.

European prices stayed depressed, pressured by substantial supply from Peru, South Africa, and Colombia. The average price achieved was Euro 7.13 per carton. Pest and disease pressure limited the full conversion of production growth into export volume. The Red Sea route, while technically open, continued to cause fruit quality problems and unpredictable pricing.

Kakuzi is actively developing market access in China and India as alternatives to Europe. Managing Director Chris Flowers acknowledged that “while these markets offer easier logistics, the current market size does not offer an immediate substitute for Europe.” The diversification is a medium-term play, not an immediate fix.

Avocado Export Snapshot

Table 3: Kakuzi avocado export and production metrics, FY2024 vs FY2025. Average price data for FY2024 was not disclosed in published results.

Macadamia: A Five-Fold Profit Recovery

Macadamia posted the sharpest percentage recovery of any segment, with operating profit jumping to KSh 365 million from KSh 69 million, a 429 percent increase. Demand for macadamia kernels recovered, sales volumes rose, and prices improved. Kakuzi operates one of Kenya’s largest macadamia processing plants, with installed capacity of 2,000 tonnes of saleable kernel, and now produces 1,000 litres of cold-pressed macadamia oil daily.

The domestic market contributed more than KSh 50 million in revenue through the Kakuzi Farm Market along the Nairobi-Nyeri Highway — a growing channel selling ready-to-eat macadamia, cold-pressed oil, avocados, blueberries, and, most recently, loose-leaf tea. Flowers cautioned that sustaining macadamia demand requires expanding the ways consumers experience the product globally, pointing to ongoing work on product formats and market development.

Blueberry: First Profit, Significant Expansion Ahead

The blueberry operation recorded its first profit — KSh 5 million, compared with a KSh 19 million loss in 2024. Production volumes more than doubled to 90 tonnes from 53 tonnes. The result is modest in absolute terms but significant as proof of concept for a crop Kakuzi is about to scale aggressively.

This year, Kakuzi plans to invest more than US$15 million to expand blueberry orchards from the current 10 hectares to 100 hectares. That is a tenfold increase in growing area, and it signals management’s conviction that blueberries can become a meaningful third pillar of the business alongside avocado and macadamia

Dividend of KES 16.00 Per Share: Dates and Details

The board declared a first and final dividend of KES 16.00 per share — a 100 percent increase from KES 8.00 in FY2024 and the highest payout in recent years. At the prevailing share price of KES 423.50, the dividend implies a yield of approximately 3.8 percent. The payout ratio stands at roughly 81 percent of after-tax profit, reflecting the board’s decision to pass the bulk of the recovery year’s earnings directly back to shareholders.

Table 4: Kakuzi Plc FY2025 dividend calendar. Dividend subject to approval at the Annual General Meeting on 20 May 2026.

Diversification Strategy: Domestic Market and Value Addition

Kakuzi has historically been an export-oriented business. The 2025 results mark a visible shift. Domestic revenue now exceeds KSh 50 million, generated through value-added products sold at the Farm Market and selected retail outlets. The product range has expanded from the original macadamia and avocado lines to include cold-pressed macadamia oil, blueberries, and a new loose-leaf tea brand launched in early 2025, available in 250g and 500g packs.

Investments, Trade and Industry Cabinet Secretary Lee Kinyanjui visited Kakuzi’s orchards in Murang’a County during the year, commending the group’s value-addition capacity and framing Kakuzi’s expansion as aligned with the government’s import substitution agenda.

Kenya currently spends more than KSh 500 billion annually importing agricultural products, including edible oils. The CS noted that local macadamia oil production directly addresses that import bill.

Kakuzi also added 1 million cubic metres of rainwater storage capacity during the year, bringing its total water storage to 13 million cubic metres — an investment for a farm operation dependent on consistent irrigation in a climate increasingly prone to variability.