Kakuzi PlcNSEKE: KUKZ

Interim Financial Statement June 2026

Aug 26, 2026 at 6:08 AM UTC · MarketScreener

KAKUZI PLC INTERIM FINANCIAL STATEMENTS FOR THE PERIOD OF SIX MONTHS TO 30 JUNE 2026 (UNAUDITED)

TABLE OF CONTENTS PAGE

Chairman's statement 2 - 5

Consolidated and separate statement of profit or loss and other comprehensive income 6

Consolidated statement of financial position 7

Separate statement of financial position 8

Consolidated statement of changes in equity 9

Separate statement of changes in equity 10

Consolidated and separate statement of cash flows 11

Notes to the consolidated and separate interim financial statements 12 - 19

Directors:		Registrars:
Mr. N Ng'ang'a	Chairman	Custody & Registrars Services Limited
Mr. C J Flowers Mr. G H Mclean*	Managing Director	IKM Place Tower B, 1st Floor
Mr. K R Shah		5th Ngong Avenue
Mr. D M Ndonye		P. O. Box 8484, Nairobi 00100
Mr. S N Waruhiu		Telephone: (020) 7608216
Mr. A N Njoroge		Email: info@candrgroup.co.ke
Dr. J K Kimani
Ms. P Ager
* British

Secretary: Registered Office:

John L G Maonga Main Office

Maonga Ndonye Associates Punda Milia Road, Makuyu

P. O. Box 73248 P. O. Box 24, Thika 01000

00200 NAIROBI Telephone: (060) 2033012

Telephone (020) 2149923 E-mail: mail@kakuzi.co.ke

Key Highlights

The global avocado market was well supplied putting pressure on prices particularly in the latter part of the half year. At Kakuzi an anticipated significantly lower crop from our orchards and disrupted shipping routes has weighed heavily on returns with operating profit at half-year falling to Ksh 215.9 million (Half Year 2025: Ksh 394.9 million).

The macadamia market softened sharply on rising global supply and weaker demand, resulting in a half-year operating profit of Ksh 68.2 million, compared to a profit of Ksh 318.8 million in half year 2025.

Blueberry continued its trend of profitable growth, posting a half-year operating profit of Ksh 15.1 million (Half year 2025: Ksh 13.4 million), notwithstanding freight complexity caused by conflict in the Middle East.

Forestry operating profit significantly improved in the half year to Ksh 73.3 million (Half year 2025: Ksh 42.9 million) on continued strong demand for poles.

Tea and Livestock continue to perform in line with our expectations, with a slight strengthening of the tea market. Group profit before tax fell to Ksh 10.4 million for the half-year (Half year 2025: Ksh 435.2 million).

Trading Performance

The year-to-date trading in our two core crops has been negatively impacted by geo-political instability impacting key shipping routes into Europe, a lower anticipated overall avocado crop volume and a downturn in market demand for macadamia.

At the start of the year the shipping routes through the Red Sea were beginning to return to normal, however the increasing tension in the region eventually forced our major shipping line to revert to the longer and more complicated Cape of Good Hope route. The resulting increase in transit times, which have now reached the edge of what is technically possible for an avocado, have downgraded the quality and price expectations.

Climatic conditions during the third quarter of 2025, coinciding with the critical avocado fruit expansion phase, were exceptionally dry, and have resulted in less, and smaller, fruit than in a normal year.

While the Company maintains substantial irrigation and water storage infrastructure, the challenge lay less in water availability than in the speed at which application could be adjusted to an event of this severity. The rate of moisture depletion experienced during the third quarter of 2025 was, in the Company's experience, unprecedented, increasing water stress levels in our avocado orchards. Our established methodology has served the Company well under normal seasonal variation but as climatic events of this pace and magnitude are expected to become more frequent, a new approach is required. This experience underscores the importance of continuing to strengthen our climate-smart agricultural capabilities, enabling more timely and precise irrigation responses in the seasons ahead.

To this end, the Company is accelerating its investment in continuous, multi-point digital soil-moisture monitoring, providing real-time data across the orchards to complement, and over time supersede, periodic manual assessment. We regard this transition to automated, real-time monitoring as an essential element of the climate-smart agriculture required to manage the increasing climatic variability we anticipate in future seasons.

Macadamia production, given its different growing cycle, was less affected by the dry conditions described above; the challenge instead lay in the international market, which has once again been turbulent. High production volumes from Australia and South Africa, combined with a slowdown in Chinese demand as domestic production there continues to rise, and a softer USA market linked to the legacy of tariffs, have together resulted in lower sales and pricing.

Our forestry division has performed well. Demand for high quality poles continues to increase across all sectors which remains encouraging.

Likewise, blueberry operations have performed well, with production sold across domestic and export markets despite geopolitical headwinds in the Middle East. The operational expansion project is in full swing.

Our tea and livestock operations also performed steadily, and demand for our other diversified products remains encouraging.

Dividend

The Directors do not recommend the payment of an interim Dividend.

Overview & Operations

Our Farm of the Future initiative continues to bring agricultural technology and artificial intelligence to bear across our operations, and we intend to expand its application as these technologies mature. Looking further ahead, current forecasts point to an increased likelihood of an El Niño event bringing excessive rainfall later in 2026, a reminder that the climate risks for which we must plan run in both directions.

Avocados

The European market for avocados has been dominated by Peruvian supply, some 17% greater than last year. Record volumes in the 2nd quarter, towards the beginning of the 'normal' Kenyan supply window, placed the market under considerable pressure. These volumes have since reduced and prices have stabilized. Overall supply to the European market is approximately 10% greater than last year. The widely anticipated El Niño event may impact on supply as the year progresses.

Whilst we anticipate our own production volumes to also be significantly lower than last year, the overall Kenyan supply to Europe is trending at 42% lower than in 2025 and 62% lower than two years ago. This may indicate a market trend towards increased oil production, as opposed to fresh fruit exports, due to logistical issues from geo-political tensions in the Middle East. Kakuzi is also exploring opportunities in the 'long-life' avocado space.

The Chinese market is now duty free for Kenyan produce and market demand is increasing. This market is easily flooded by competing origins, thus reducing prices, so our exports to China are timed for periods where reasonable returns can be obtained.

India again continues to show promise as an emerging avocado consumer, however, despite the large population consumption trends remain low.

Europe remains the key market destination and given the difficult logistic routes, created by the Middle East conflict the profitability of fresh produce sales into this region will be diminished this year.

Macadamia

Macadamia recorded a half-year operating profit of Ksh 68.2 million, a marked reduction from the Ksh 318.8 million profit achieved in the same period last year. Saleable kernel production was in fact slightly ahead of last year at 428 tonnes (Half year 2025: 413 tonnes), reflecting the continued maturing of our orchards, which now cover 1,410 hectares. However, sales volumes fell to 212 tonnes (Half year 2025: 252 tonnes) on the back of lower demand.

Short term global oversupply as well as the legacy impact of tariffs on imports has resulted softer offtake from the USA. This has pushed our average net selling price down to US$9.72 per kilo for the half-year (Half year 2025: US$11.56 per kilo), a decline of 16%.

We continue to believe that the long-term fundamentals of macadamia demand, underpinned by its health credentials, remain intact, and we are monitoring the recovery of key markets closely. In the meantime, our value-added range continues to perform well; demand for our cold-pressed macadamia oil and our ready-to-eat roasted and coated nut range remains encouraging and provides some insulation from the volatility of bulk kernel pricing.

Other Products Tea

Our Kaboswa tea operations recorded a half-year loss of Ksh 21.7 million compared to the Ksh 27.5 million loss reported for

the same period last year. Green leaf production increased to an equivalent 939 tonnes of made tea (Half year 2025: 827 tonnes) and the net price realised for made tea also improved. The wider tea industry, however, continues to labour under a persistent oversupply, and we do not expect a meaningful recovery in international prices until Kenyan production levels rebalance with demand. There is reasonable confidence that this rebalancing is taking place.

Our value-added range was extended this half-year with the launch of a new packet loose tea product. Sales remain modest at this early stage, but we expect the forthcoming introduction of tea bags to broaden the appeal and reach of this range further.

Forestry

Our forestry division performed well, with a significant rise in half-year profits to Ksh 73.3 million (Half year 2025: Ksh 42.9 million). Demand for our sustainably grown wood products, particularly treated poles, remains strong across the agricultural and conservation sectors. Firewood and timber sales were also ahead of last year. This continued strength provides a valuable and increasingly diversified counterweight to the volatility we are experiencing in our export crops.

Livestock and Farm Market

Our livestock and arable operations broke even, a modest improvement on the Ksh 4.0 million loss for the same period last year. Our breeding herd continued to grow steadily, closing the half-year at 4,012 head of cattle (Half year 2025: 3,949), and beef sales through our Boran Barn butchery and restaurant, which remain popular outlets for our farm-to-fork produce, were broadly in line with last year. Demand for our other value-added products through the Kakuzi Farm Market remains encouraging.

Blueberry

Our blueberry division delivered a half-year profit of Ksh 15.1 million, a modest improvement on the Ksh 13.4 million profit recorded in the same period last year, continuing its trend of profitable growth as our superfoods diversification strategy matures.

Total production for the half-year was lower than the same period last year, reflecting the timing of harvests from our existing 10 hectares of mature plantings. Construction of the new expansion is progressing well and will materially increase our productive hectarage once established.

Export shipments have been disrupted by the continuing conflict in the Middle East, our key export destination. Domestic sales, however, remained resilient. We are working with our marketing partners to continue the market diversification and remain confident in underlying demand for quality blueberries, both domestically and internationally.

Community and Stakeholder Engagement

Kakuzi's approach to stakeholder engagement remains anchored in the UN Guiding Principles on Business and Human Rights and aligned with the Sustainable Development Goals. Our independent grievance mechanism, SIKIKA ("Be Heard"), continues to provide employees and community members with an accessible, internationally benchmarked channel for raising concerns, with independent reports published openly.

Education and Human Capital Development

Education remained a priority during the period. We supported ten academic scholarship beneficiaries, funded eight teachers' wages to strengthen learning continuity, facilitated industrial attachments for students, and donated classroom furniture to schools and special institutions. These interventions improve access to quality education and contribute to long-term human capital development within neighbouring communities.

Health and Wellbeing

Through the Tabasamu ("Smile") programme, employees received menstrual health awareness training, promoting dignity and workplace inclusion. We also donated sanitary towels to schoolgirls and collaborated with healthcare and emergency response stakeholders to strengthen community preparedness.

Water and Sanitation

Investments included the construction of five ablution blocks in schools and vocational institutions, alongside water harvesting and storage projects that improved access to clean water and sanitation services.

Livelihoods and Local Enterprise

Over 70 members of community self-help groups received beekeeping and enterprise development training, while procurement from local suppliers exceeded Ksh 18.5 million. In partnership with Murang'a County under the National Agricultural Value Chain Development Project (NAVCDP), we supported avocado value chain development through farmer training and distribution of subsidised seedlings, strengthening smallholder productivity and long-term agricultural livelihoods.

Environmental Stewardship

Environmental conservation remained central, with over 40,000 trees planted across our operations and 300 indigenous seedlings donated during World Environment Day. We also engaged communities in sensitization forums on human-wildlife conflict and supported child protection platforms, reinforcing our role in ecosystem restoration and social resilience.

Commitment to Responsible Citizenship

Collectively, these initiatives demonstrate Kakuzi's commitment to creating shared value through responsible business practices. By investing in education, health, livelihoods, environmental stewardship, and transparent dialogue, we continue to strengthen community resilience, reinforce our social licence to operate, and contribute to long-term sustainable value creation for shareholders and stakeholders alike. We recognise that meaningful engagement also means being transparent about the challenges we continue to navigate, and we remain committed to reporting openly on both our progress and the work still ahead.

Strategic Goals & Developments

Our strategic priorities remain unchanged in substance, even as the operating conditions in which we pursue them continue to shift: growing our production of avocado and macadamia superfoods as our existing orchards reach maturity, diversifying into new superfoods and new geographic markets, adding value through our Kakuzi Farm Market and processing capability, and continuing to strengthen our sustainability and social performance.

The volatility experienced this half-year, in both our avocado and macadamia markets, reinforces the importance of this diversified strategy. Blueberry and forestry have again demonstrated their value as counterweights to the cyclicality of our two larger export crops, and we will continue to invest in both.

We remain guided by the belief that a long-term view, sufficient diversification, and disciplined execution are what allow Kakuzi to withstand short-term shocks, whether from markets, weather, or geopolitics, while continuing to build sustainable shareholder and stakeholder value.

NICHOLAS NG'ANG'A CHAIRMAN

25th August 2026

Consolidated and separate statement of profit or loss and comprehensive income

		6 Months to 30 June 2026	6 Months to 30 June 2025
	Notes	Shs'000	Shs'000
Sales	3	1,117,721	1,511,260
Gain arising from changes in fair value less cost to sell of non-current biological assets	10(i)	33,876	25,579
		1,151,597	1,536,839
Cost of sales		(1,037,122)	(882,512)
Gross profit		114,475	654,327
Other income	4	818	8,374
Selling and Distribution costs	3	(141,838)	(265,852)
Operating (loss)/profit		(26,545)	396,849
Interest income	5	37,026	38,456
Finance costs	5	(59)	(60)
Profit before income tax		10,422	435,245
Income tax expense	6	(3,312)	(139,707)
Profit for the period Other comprehensive income		7,110 -	295,538 -
Total comprehensive income		7,110	295,538
		Shs	Shs
Earnings per share:
Basic and diluted earnings per ordinary share	7	0.36	15.08

The notes on pages 12 to 19 are an integral part of these consolidated and separate interim financial statements.

Kakuzi Plc Interim Financial Statements As at 30 June 2026
Consolidated statement of financial position
				Audited
		30 June 2026	30 June 2025	31 December 2025
	Notes	Shs'000	Shs'000	Shs'000
EQUITY
Share capital		98,000	98,000	98,000
Other reserves		40,206	36,251	40,206
Retained earnings		5,123,342	5,337,797	5,116,232
Proposed dividend		-	-	313,600
Total equity		5,261,548	5,472,048	5,568,038
Non-current liabilities
Deferred income tax		1,090,070	1,136,879	1,090,524
Post-employment benefit obligations		179,813	166,295	165,515
Lease obligations		687	687	691
		1,270,570	1,303,861	1,256,730
Total equity and non-current liabilities		6,532,118	6,775,909	6,824,768
REPRESENTED BY
Non-current assets
Property, plant and equipment	9	2,972,665	2,894,994	2,878,343
Biological assets	10(i)	1,128,041	1,102,888	1,128,680
Right of use assets		4,003	4,001	4,051
Non-current receivables		61,587	53,081	61,817
		4,166,296	4,054,964	4,072,891
Current assets
Biological assets - growing agricultural produce	10(ii)	775,397	967,692	505,002
Inventories		1,164,579	817,760	465,756
Receivables and prepayments		525,704	457,671	594,723
Current tax recoverable		21,966	-	-
Cash and cash equivalents	11	274,594	890,293	1,593,203
		2,762,240	3,133,416	3,158,684
Current liabilities
Payables and accrued expenses		388,918	368,605	307,131
Current tax payable		-	30,528	92,180
Lease obligations		55	55	51
Post-employment benefit obligations		7,445	13,283	7,445
		396,418	412,471	406,807
Net current assets		2,365,822	2,720,945	2,751,877
		6,532,118	6,775,909	6,824,768

The notes on pages 12 to 19 are an integral part of these consolidated and separate interim financial statements.

Separate statement of financial position
				Audited
		30 June 2026	30 June 2025	31 December 2025
	Notes	Shs'000	Shs'000	Shs'000
EQUITY
Share capital		98,000	98,000	98,000
Other reserves		40,206	36,251	40,206
Retained earnings		5,119,201	5,333,656	5,112,091
Proposed dividend		-	-	313,600
Total equity		5,257,407	5,467,907	5,563,897
Non-current liabilities
Deferred income tax		1,090,070	1,136,879	1,090,524
Post-employment benefit obligations		179,813	166,295	165,515
Lease obligations		687	687	691
		1,270,570	1,303,861	1,256,730
Total equity and non-current liabilities		6,527,977	6,771,768	6,820,627
REPRESENTED BY
Non-current assets
Property, plant and equipment	9	2,972,665	2,894,994	2,878,343
Biological assets	10(i)	1,128,041	1,102,888	1,128,680
Right of use assets		4,003	4,001	4,051
Investments in subsidiaries		4,295	4,295	4,295
Non-current receivables		61,587	53,081	61,817
		4,170,591	4,059,259	4,077,186
Current assets
Biological assets - growing agricultural produce	10(ii)	775,397	967,692	505,002
Inventories		1,164,579	817,760	465,756
Receivables and prepayments		525,704	457,671	594,723
Current tax recoverable		21,913	-	-
Cash and cash equivalents	11	274,594	890,293	1,593,203
		2,762,187	3,133,416	3,158,684
Current liabilities
Payables and accrued expenses		397,301	376,988	315,514
Current tax payable		-	30,581	92,233
Lease obligations		55	55	51
Post-employment benefit obligations		7,445	13,283	7,445
		404,801	420,907	415,243
Net current assets		2,357,386	2,712,509	2,743,441
		6,527,977	6,771,768	6,820,627

The notes on pages 12 to 19 are an integral part of these consolidated and separate interim financial statements.

Consolidated statement of changes in equity
	Share capital Shs'000	Other reserves Shs'000	Retained earnings Shs'000	Proposed dividend Shs'000	Total equity Shs'000
Period ended 30 June 2026
At start of year	98,000	40,206	5,116,232	313,600	5,568,038
Total comprehensive income for the period:
Profit for the period	-	-	7,110	-	7,110
Total	-	-	7,110	-	7,110
Transactions with owners: Dividends: - Final for 2025	-	-	-	(313,600)	(313,600)
	-	-	-	313,600)	(313,600)
At end of period	98,000	40,206	5,123,342	-	5,261,548
	Share capital Shs'000	Other reserves Shs'000	Retained earnings Shs'000	Proposed dividend Shs'000	Total equity Shs'000
Period ended 30 June 2025
At start of year	98,000	36,251	5,042,259	156,800	5,333,310
Total comprehensive income for the period:
Profit for the period	-	-	295,538	-	295,538
Total	-	-	295,538	-	295,538
Transactions with owners: Dividends: - Final for 2024	-	-	-	(156,800)	(156,800)
	-	-	-	(156,800)	(156,800)
At end of period	98,000	36,251	5,337,797	-	5,472,048

The notes on pages 12 to 19 are an integral part of these consolidated and separate interim financial statements.

Separate statement of changes in equity
	Share	Other	Retained	Proposed	Total
	capital	reserves	earnings	dividend	equity
	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000
Period ended 30 June 2026 At start of year	98,000	40,206	5,112,091	313,600	5,563,897
Total comprehensive income for the period:
Profit for the period	-	-	7,110	-	7,110
Total	-	-	7,110	-	7,110
Transactions with owners:
Dividends:
- Final for 2025	-	-	-	(313,600 )	(313,600 )
	-	-	-	(313,600 )	(313,600 )
At end of period	98,000	40,206	5,119,201	-	5,257,407
	Share capital	Other	Retained	Proposed	Total
		reserves	earnings	dividend	equity
	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000
Period ended 30 June 2025
At start of year	98,000	36,251	5,038,118	156,800	5,329,169
Total comprehensive income for the period:
Profit for the period	-	-	295,538	-	295,538
Total	-	-	295,538	-	295,538
Transactions with owners:
Dividends:
- Final for 2024	-	-	-	(156,800 )	(156,800 )
	-	-	-	(156,800 )	(156,800 )
At end of period	98,000	36,251	5,333,656	-	5,467,907

The notes on pages 12 to 19 are an integral part of these consolidated and separate interim financial statements.

Consolidated and separate statement of cash flows		6 months to	6 months to
	Notes	30 June 2026 Shs'000	30 June 2025 Shs'000
Operating activities
Profit before income tax	14	10,422	435,245
Adjustment for non-cash items	14	(135,720 )	(292,990 )
Changes in working capital	14	(533,486 )	(162,382 )
Cash used by operations		(658,784 )	(20,127 )
Interest received	5	37,026	38,456
Income tax paid		(117,913 )	(6,458 )
Net cash (used)/generated by operating activities		(739,671 )	11,871
Investing activities
Purchase of property, plant and equipment	9	(240,134 )	(54,373 )
Purchase and development of biological assets	10(i)	(18,794 )	(13,590 )
Proceeds from disposal of property, plant and equipment		60	360
Net cash used in investing activities		(258,868 )	(67,603 )
Financing activities
Dividend paid		(313,600 )	(156,800 )
Lease payments		(59 )	(61 )
Net cash used in financing activities		(313,659 )	(156,861 )
Decrease in cash and cash equivalents		(1,312,198 )	(212,593 )
Movement in cash and cash equivalents
At start of year		1,593,203	1,106,684
Decrease in cash and cash equivalents		(1,312,198 )	(212,593 )
Net exchange (losses) on foreign currency cash and cash equivalents	4	(6,411 )	(3,798 )
At end of period	11	274,594	890,293

The notes on pages 12 to 19 are an integral part of these consolidated and separate interim financial statements.

Notes

General information
Kakuzi Plc is incorporated in Kenya under the Kenyan Companies Act 2015 as a public limited liability company and is domiciled in Kenya.
Basis of preparation and changes to the Group's accounting policies
1. Basis of preparation
  These interim financial statements are prepared in compliance with International Financial Reporting Standards (IFRS). These interim financial statements are presented in the functional currency, Kenya Shillings (Shs), rounded to the nearest thousand, and prepared under the historical cost convention as modified by the carrying of biological assets and agricultural produce at fair values less costs to sell.
  These unaudited interim consolidated and company financial statements have been prepared in accordance with IAS 34 Interim Financial Reporting and should be read in conjunction with the Group's last annual consolidated and company financial statements as at and for the year ended 31 December 2025 ('last annual financial statements'). Selected explanatory notes are included to explain events and transactions that are significant for an understanding of the changes in the Group's financial position and performance since the last annual financial statements. Where necessary, comparative figures have been adjusted to conform with presentation in the current year.
  The Consolidated and Company statement of profit or loss and other comprehensive income are presented as one and the same since the subsidiaries are dormant and did not have any transactions during the period.
2. Use of judgements and estimates
  In preparing these interim consolidated and company financial statements, the Directors have made judgments and estimates that affect the application of accounting policies and the reported amounts of assets and liabilities, and income and expenses. Although these estimates are based on the Directors' best knowledge of current events and actions, actual results may ultimately differ from these estimates.
  The significant judgements made by the Directors in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those described in the last annual financial statements.
3. New standards, interpretations and amendments adopted by the Group.
  The accounting policies adopted in the preparation of the interim consolidated and company financial statements are consistent with those followed in the preparation of the last annual financial statements, except for the adoption of new standards effective as of 1 January 2026. The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective.
  Several amendments and interpretations apply for the first time in 2026, but do not have an impact on the interim condensed consolidated financial statements of the Group.
4. Costs that incur unevenly during the financial year are anticipated or deferred in the interim only if it would be also appropriate to anticipate or defer such costs at the end of the financial year.
5. Income tax expense is recognised based on the annual income tax rate expected for the full financial year. The annual tax rate used for 2026 is 30% (2025 was 30%).
  Notes (continued) 2 Basis of preparation and changes to the Group's accounting policies (continued)
6. Comparatives
  Where necessary, comparative figures have been adjusted to conform to changes in presentation in the current year.
Segmental reporting - Group

The Executive Directors are the operating decision makers of the Group. They make decisions based on the review of the operating segments reports.

The Group operates in two geographical areas in Kenya, Makuyu and Nandi Hills, and under several operating segments. The principal operating segments currently consist of Avocados and Macadamia whose reported sales are greater than 10% of combined sales of all operating segments and Tea and Forestry whose assets are more than 10% of combined assets of all operating segments. The business activities of livestock, joint projects and blueberries are included under "all other segments" as they relate to agricultural operations and do not meet any set criteria for individual reportable segments. There is no single customer whose revenue amounts to 10% or more of the Groups revenue.

The Group derives all revenues from contracts with customers for the transfer of goods at a point in time.

Segment assets consist primarily of property, plant and equipment, biological assets, inventories, receivables and prepayments. Unallocated assets are cash, financial assets, property, plant and equipment, and inventories relating to Main Office and Engineering Stores. Segmental liabilities consist primarily of payables and accrued expenses. Unallocated liabilities are taxes, payables, accrued expenses and non-current liabilities.

3. Segmental reporting (continued)

The segment information for the reportable segments for the six months period ended 30 June 2026 and 30 June 2025 is as follows:

2026	2025	2026	2025	2026	2025	2026	2025	2026	2025	2026	2025
Tea		Avocados		Macadamia		Forestry		All other segments		Consolidated

	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000	Shs'000
Sales Sales to external customers	167,874	138,115	365,783	685,914	305,813	427,298	202,575	178,284	75,676	81,649	1,117,721	1,511,260
Comprising
Major external customers sales	167,874	138,115	285,825	614,254	285,267	396,810	-	-	-	-	738,966	1,149,179
All other external customers sales	-	-	79,958	71,660	20,546	30,488	202,575	178,284	75,676	81,649	378,755	362,081
	167,874	138,115	365,783	685,914	305,813	427,298	202,575	178,284	75,676	81,649	1,117,721	1,511,260
Geographical analysis UK & Continental Europe	-	-	271,045	587,776	40,388	179,907	-	-	-	-	311,433	767,683
Kenya	167,874	138,115	79,959	71,660	20,546	30,488	202,575	178,284	75,676	81,649	546,630	500,196
Others	-	-	14,779	26,478	244,879	216,903	-	-	-	-	259,658	243,381
	167,874	138,115	365,783	685,914	305,813	427,298	202,575	178,284	75,676	81,649	1,117,721	1,511,260

3. Segmental reporting (continued)

2026 2025 2026 2025 2026 2025 2026 2025 2026 2025 2026 2025

Tea Avocados Macadamia Forestry All other segments Consolidated

Profit/(loss)	Shs'000	Shs'000	Shs'000		Shs'000		Shs'000		Shs'000		Shs'000		Shs'000		Shs'000		Shs'000		Shs'000	Shs'000
Gross profit/(loss) before depreciation and
fair value changes in non-current biological
assets and intersegmental purchases	(17,160	) (21,769 )	397,053		693,469		136,647		390,466		75,820		46,058		(16,993)		(16,171)		575,367	1,092,053
Depreciation charge	(6,397	) (7,590 )	(60,086		) (60,960		) (48,254		) (43,823		) (2,494		) (3,114)		(27,224)		(25,099)		(144,455)	(140,586)
Changes in fair value of non-current
biological assets	- -		-		-		- - -						-		33,876		25,582		33,876	25,582
Gross profit/(loss)	(23,557	) (29,359 )	336,967		632,509		88,393		346,643		73,326		42,944		(10,341)		(15,688)		464,788		977,049
Selling and Distribution costs	- -		(121,062		) (237,570		) (20,231 ) (27,793 ) -						-		(545)		(489)		(141,838)	(265,852)
Segment profit/(loss)	(23,557	) (29,359 )	215,905		394,939		68,162		318,850		73,326		42,944		(10,886)		(16,177)		322,950		711,197
Other income	1,859	1,841	-		-		-		-		-		-		(1,041)		6,533		818		8,374
Interest and other income	-	-	-		-		-		-		-		-		37,026		38,456		37,026		38,456
Finance costs	-	-	-		-		-		-		-		-		(59)		(60)		(59)		(60)
Unallocated admin expenditure	-	-	-		-		-		-		-		-		(350,313)		(322,722)		(350,313)		(322,722)
Profit/(loss) before income tax	(21,698	) (27,518 )	215,905		394,939		68,162		318,850		73,326		42,944		(325,273)		(293,970)		10,422		435,245
Income tax expense	6,899	8,833	(68,653		) (126,771		) (21,674		) (102,347		) (23,316		) (13,784		) 103,432		94,362		(3,312)		(139,707)
Profit/(loss) for the period (14,799	)	(18,685 )		147,252		268,168		46,488		216,503		50,010		29,160		(221,841)		(199,608)	7,110		295,538
Assets (all located in Kenya) Segment assets 415,722		385,309		2,131,036		2,210,966		1,798,984		1,761,078		1,040,677		1,046,420		1,167,340		868,364	6,553,759		6,272,137
Unallocated assets																			374,777		916,243
																			6,928,536		7188,380
Liabilities Segment liabilities 67,966		64,409		-		-		-		-		-		-		-		-	67,966		64,409
Unallocated liabilities																			1,599,022		1,651,923
																			1,666,988		1,716,332
Additions Property, plant and equipment 345		1,866		19,527		38,345		32,299		10,001		1,788		-		186,175		4,161	240,134		54,373
Biological assets 93		438		-		-		-		-		18,551		13,152		150		-	18,794		13,590
438		2,304		19,527		38,345		32,299		10,001		20,339		13,152		186,325		4,161	258,928		67,963

Notes (continued)

	6 months to 30 June 2026 Shs'000	6 months to 30 June 2025 Shs'000
4. Other income/(losses) - Group and company
Net foreign exchange (losses)/gains other than cash and cash equivalents	(841)	1,771
Net exchange (losses) on foreign currency cash and cash equivalents	(6,411)	(3,798)
(Loss)/profit on disposal of property, plant and equipment	(1,295)	320
Rental income	3,919	3,581
Avocado and macadamia seedling sales	2,279	4,226
Sundry	3,167	2,274
	818	8,374
5. Interest income and finance income/(costs) - Group and company
Interest income
Interest income on short term bank deposits	37,026	38,456
	37,026	38,456
Finance income/(costs)
Interest on lease liabilities	(59)	(60)
Net finance costs	(59)	(60)
6. Income tax - Group and company

Income tax expense is recognised based on the annual income tax rate expected for the full financial year. The annual tax rate used for 2026 is 30% (2025: 30%).

	Current income tax expense	(3,767)	(118,360)
	Deferred income tax credit/(expense)	455	(21,347)
	Income tax expense	(3,312)	(139,707)
7.	Basic and diluted earnings per ordinary share

Basic and diluted earnings per ordinary share are calculated on the profit attributable to the members of Kakuzi Plc and on the 19,599,999 ordinary shares in issue at 30 June 2026 and 30 June 2025.

The Company had no potentially dilutive ordinary shares outstanding at 30 June 2026 or 30 June 2025.

8. Dividend

The directors do not recommend the payment of an interim dividend (2025: Nil).

Notes (continued)

9. Capital expenditure - Group and Company
		30 June 2026	30 June 2025
		Shs'000	Shs'000
Property, plant and equipment
Opening net book value - 1 January		2,878,343	2,981,247
Capital expenditure - additions		240,134	54,373
Disposals		(1,357)	(40)
Depreciation		(144,455)	(140,586)
Closing net book value - 30 June		2,972,665	2,894,994
10. Biological assets - Group and Company
(i) Non-current biological assets
Changes in carrying amounts of non-current biological assets comprise: -
		Group
	Livestock	Plantations	Total
	Shs'000	Shs'000	Shs'000
Period ended 30 June 2026
At 1 January 2026	227,380	901,300	1,128,680
Increase due to purchases and development	150	18,644	18,794
Gain arising from changes in fair value less costs to sell	33,876	-	33,876
Decrease due to harvest and sales	(25,306)	(28,003) (53,309)
At 30 June 2026	236,100	891,941 1,128,041
Period ended 30 June 2025
At 1 January 2025	208,062	910,900	1,118,962
Increase due to purchases and development	-	13,590	13,590
Gain arising from changes in fair value less costs to sell	25,579	-	25,579
Decrease due to harvest and sales	(25,578)	(29,665) (55,243)
At 30 June 2025	208,063	894,825 1,102,888
(ii) Current biological assets i.e. growing agricultural produce
Growing agricultural produce on bearer plants as at the reporting date
	30 June 2026		30 June 2025
	Shs'000		Shs'000
Avocado	564,185		717,332
Macadamia	182,135		243,062
Blueberries	26,601		5,471
Tea	2,476		1,827
	775,397		967,692

The gain arising from changes in fair value of the growing agricultural produce on bearer plants is included within cost of sales.

Notes (continued)

11. Cash and cash equivalents - Group and Company
For the purposes of the statement of cash flows, cash and cash equivalents comprise the	following: -
	30 June 2026	30 June 2025
	Shs'000	Shs'000
Cash at bank and in hand	92,966	134,671
Short term deposits	181,628	755,622
	274,594	890,293
12. Capital commitments - Group and Company	30 June 2026	30 June 2025
	Shs'000	Shs'000
Capital expenditure contracted for at the statement of financial position date but not recognised in the consolidated interim financial statements is as follows: -
Property, plant and equipment	23,791	2,642
	23,791	2,642

Notes (continued)

13.	Cash generated from operations - Group and Company
	Reconciliation of profit before income tax to cash generated from operations:
		6 months to	6 months to
		30 June 2026	30 June 2025
	Notes	Shs'000	Shs'000
	Profit before income tax	10,422	435,245
	Adjustments for non-cash items
	Interest income 5	(37,026)	(38,456)
	Net exchange losses on foreign currency cash and cash equivalents 4	6,411	3,798
	Depreciation 9	144,455	140,585
	Loss/(Profit) on sale of property, plant and equipment	1,295	(320)
	Depreciation of right of use assets	48	99
	Interest costs on adoption of IFRS 16 5	59	60
	Gain arising from changes in fair value less cost to sell of non-current
	biological assets 10(i)	(33,876)	(25,579)
	Decrease in fair value of biological assets due to sales and harvest and
	disposal 10(i)	53,309	55,243
	Fair value movement in biological assets - growing agricultural
	produce	(270,395)	(428,420)
		(135,720)	(292,990)
	Changes in working capital:
	- Increase in inventories (including fair value movement
	in biological assets)	(698,823)	(448,294)
	- Decrease in receivables and prepayments	69,252	203,785
	- Decrease in payables and accrued expenses	81,787	67,576
	- Increase in post-employment
	benefit obligations	14,298	14,551
		(533,486)	(162,382)
Cash used by operations		(658,784)	(20,127)

000

Earlier from Kakuzi

All Kakuzi news releases