Firm linked to late Kenyan tycoon Chris Kirubi’s heirs posts $1.23 million in profit in 2023

Mfonobong Nsehe -

Centum Real Estate (Centum RE), a prominent property developer linked to Robert Kirubi and Mary-Ann Musangi, heirs to the late tycoon Chris Kirubi’s business empire, has successfully reversed its fortunes after reporting a loss of over $3 million in the previous year.

According to recently published financial results of Centum RE, the property developer recorded a profit of Ksh174 million ($1.23 million) by the end of its 2023 fiscal period, which closed on March 31, 2023. This remarkable turnaround stands in stark contrast to the Ksh486.9 million ($3.44 million) loss suffered in the previous fiscal year.

The rebound in profit can be attributed to a substantial unrealized gain on the company’s investment properties.

The gains from its real estate assets more than quadrupled, soaring from Ksh513 million ($3.62 million) in the prior year to an impressive Ksh2.1 billion ($14.84 million).

Moreover, Centum RE’s financial performance was bolstered by its resilient revenue from the sale of residential units, which increased to Ksh1.9 billion ($13.4 million) from Ksh1.8 billion ($12.7 million).

However, the gross profit from these transactions witnessed a slight decline, falling to Ksh285.6 million ($2.02 million) from Ksh334.7 million ($2.36 million), primarily due to higher costs of sales.

Centum RE operates as a property developer under the umbrella of Centum Investment Company, a leading investment firm renowned for its focus on real estate and private equity assets in East Africa’s consumer goods, financial, agribusiness, and power sectors.

The late Chris Kirubi, a prominent Kenyan tycoon and serial investor, owned a 31-percent stake in Centum Investments before his passing in 2021 at 80.

His son, Robert Kirubi, and daughter, Mary-Ann Musangi, inherited 80 percent of his fortune, including stakes in KCB Group, Haco Industries, and Bendor Estate Limited. The duo now holds the stake in Centum Investments which was once owned by their father.