Sameer Africa net profit for the six months ended June 2026 grew 19.8 percent to Sh103.88 million, up from Sh86.67 million on reduced operating expenses.

The profit growth was despite a decline in revenue to Sh205.75 million from Sh220.34 million posted in the preceding similar period.
Its operating costs dropped by 25.9 percent to Sh83.3 million from Sh112.4 million, helping grow the bottom line during the review period.

Sameer continues to find new drive in its rental business, marking a decisive turnaround after the struggles of its tyre unit, which was once the mainstay of its operations.

The firm’s bet on real estate business, where it lets out investment properties including leasehold land, residential houses and commercial properties, is paying off. The half-year performance looks set to keep it in profits for the seventh straight year.

“Our operational focus remains on safeguarding our portfolio against vacancy risks and retaining high-quality tenants. We will continue to invest in our tenant relationships to establish a resilient, sustainable income base as the operating environment normalises,” said Sameer.

The latest profit has further cut Sameer’s accumulated loss in its books of account to Sh102.84 million at the end of June from Sh206.72 million at the end of December last year. The six consecutive years of profit-making have cut the accumulated losses from Sh1.1 billion it carried in 2020.

Accounts showed the firm has narrowed its negative working capital—the difference between current assets and current liabilities—to Sh196.34 million compared with negative Sh383.4 million in the preceding similar period last year.

Sameer Africa has been pushing to dispose of its undeveloped 3.75-acre parcel of land to boost its liquidity since 2022. However, the deal has been delayed.

The firm had said it hoped to complete the transaction in June but now says the board has granted “a further extension of six months to December this year.

Between 2014 and 2019, Sameer was in losses, with the highlight coming in 2019 when it posted a record loss of Sh1.09 billion. The firm then decided to shift its focus to real estate.

The Nairobi Securities Exchange-listed firm was for 50 years synonymous with taglines such as ‘Africa rides on Yana tyres,’ which signified one of its popular products called Yana tyres.

However, the firm shifted from manufacturing to importing tyres in 2016, citing stiff competition from cheap tyres from markets such as China. Then in April 2020, Sameer dropped a shocker by stopping the tyre import business.

Established in Kenya in 1969 as Firestone East Africa Limited, the company switched its principal business from tyre manufacturing to real estate in a bid to revive its fortunes. It now describes its principal activity as letting investment properties.

→palushula@ke.nationmedia.com

Follow our WhatsApp channel for the latest business and markets updates.