Listed financial service provider Sanlam Kenya recorded a net rental income of Ksh 211.4 million in 2024 from its investment properties valued at Ksh 2.4 billion, reflecting a solid return of 8.8% for the period.
This marked a significant improvement from the Ksh118.2 million net rental income reported in 2023.
Rental income from operating leases increased sharply to Ksh 273.1 million in 2024, up from Ksh 174.9 million in the previous year.
At the same time, direct operating expenses associated with properties that generated rental income rose to Ksh 61.7 million in 2024, compared to Ksh56.8 million in 2023.
Sanlam Kenya Posts Ksh 211M Rental Income
Sanlam’s investment property value slightly declined from Ksh 2.48 billion at the start of 2024 to Ksh 2.40 billion by year-end.
The decline was driven by property disposals worth Ksh64.9 million and a fair value loss of Ksh15 million, compared to a gain of Ksh 6.9 million recorded in 2023.
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Higher Investment Income Lifts Sanlam to Record Ksh1 B Profit
In March 2025, Sanlam Kenya ended a four-year streak of losses to post a Ksh1.05 billion net profit for the financial year ended December 2024, boosted by higher investment income.
The net profit marked a turnaround from the previous year’s net loss of Ksh126.6 million and the first profit since 2019 when net profit stood at Ksh114.39 million.
The Group achieved a profit before tax of Ksh1.6 billion compared to Ksh 242.78 million in 2023.
Key strategies included strategic partnerships, channel diversification, and a focus on customer experience.
Investment return, including returns from government securities and fixed deposits, increased by 369.9% to Ksh 5.3 billion in 2024 from Ksh 1.2 billion in 2023.
Also Read: Mergers and Acquisitions in Kenya’s Insurance Sector
At the same time, total insurance revenue – from insurance premiums – increased by 6.1% to Ksh 7.4 billion buoyed by growth in the general insurance business.
Operating expenses decreased by 41.8% to Ksh 128.5 million in 2024 from Ksh 220.9 million in 2023. However, finance costs went up 21.5% to Ksh 734.8 million owing to the high interest rates in the period.
Sanlam’s tax expenses went up 64.5% to Ksh 606.2 million from Ksh 369.4 million. About Ksh 193.8 million was channeled towards directors’ emoluments from Ksh 138.2 million in 2023.
While releasing the Collective Investment Schemes (CIS) Quarterly Report earlier this month, the Capital Markets Authority revealed that the Sanlam Kenya Money Market Fund was the second largest after CIC, with assets worth Ksh72.2 billion, representing a 22.6% market share.
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