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Weak house sales nearly double Home Afrika loss
Nairobi bourse-listed real estate developer Home Afrika sunk deeper in the red after posting a Sh346.2 million net loss for year ended December 2018.
This represents a 90 percent increase in losses compared to Sh181.7 million it recorded the year before.
The troubled firm blamed the worsened performance on lower sales in the local real estate sector on the back of rationed credit by banks.
Its revenues from contracts with customers dropped 58.51 percent to Sh109 million in the period from Sh262.7 million the year before.
“This is attributed to the impact of the slowed growth in the real estate sector amid constrained credit access and general slowdown in spending power among buyers which resulted to a decline in sales of plot and house buyers,” it said.
The firm confirmed another dividend drought for shareholders following the performance, declaring it will not pay out any dividends for the period.
