Some of completed houses by Home Afrika at Migaa Estate in Kiambu. PHOTO | JEFF ANGOTE
Home Afrika losses deepen as home sales slump
Property developer Home Afrika has fallen into a loss position for the financial year 2015, underlining the challenges the company is going through.
A filing with the Capital Markets Authority (CMA) showed that it recorded a Sh390.1 million after-tax loss as gross sales slumped by 62.2 per cent to Sh259.8 million.
“This was attributed to reduced sale of plots in Home Afrika’s various projects, including Migaa Golf Estate … in Kiambu County,” said the company in the statement to the CMA, also copied to the Nairobi Securities Exchange (NSE), on which the firm is listed.
The company said it estimated that it would complete selling and booking revenue from its flagship Migaa Golf Estate project in the next two years.
“This will effectively see about half of the deferred revenue and deposits from sales of plots translate to revenues over the next 12 to 18 months and the rest thereafter,” said the firm.
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