Troubled property developer Home Afrika has sacked its chief executive, days after announcing a S11 million loss.
In a filing to the regulator, the firm’s board of directors said: We wish to advise you that the board of directors has terminated the contract of the chief executive officer, Mr Njoroge Ng’ang’a.
The board has appointed Mr Dan Awendo as the acting chief executive officer. Please update your records accordingly, read the brief letter.
The NSE-listed firm associated with Migaa housing project in Kiambu, among other real estate developments, has been struggling to ward off strong financial winds since late 2013.
BEGAN DOWNWARD TREND
Profits began a downward trend in the same year when it fell 22 per cent followed by a 73 per cent decline a year later. Revenue fall saw the firm’s half year earnings plunge to a S11 million loss compared to a net profit of Sh42 million in the same period last year.
According to Home Afrika management, the half year loss was due to a significant drop in revenue. The half year results indicated that its revenue dropped by a massive 60 per cent in the first six months of its current financial year.
The Ng’ang’a-led management had, however, remained optimistic of the firm’s prospects in their half year report.
ACHIEVE HIGHER MARGINS
We expect to achieve higher margins going forward as the higher margin commercial properties come to market, said the management.
Mr Njoroge joined the firm as chief executive in September 2013.
He was previously the general manager, strategy and investor services at Housing Finance Bank of Uganda.
He was responsible for funds mobilisation for the mortgage and term finance business.
Mr Njoroge had done the same job at Dyer and Blair Uganda where he raised more than $60 million through the capital markets of that country and regional corporates, including Uganda Clays and New Vision.