The book publisher posted half-year profit of Sh30.1 million compared to Sh16.9 million in the same period a year earlier, but warned that the recently introduced taxes would affect its prospects.
Turnover rose by 6.2 per cent to Sh560 million, which is slower than last year's revenue growth of a third, hit by sluggish book sales following the introduction of consumption tax.
Longhorn says it is looking for rival firms to buy across
The government enacted a value added or sales tax in September, slapping charges on items including books, and sending retail prices of various items higher.
The firm's managing director, Musyoki Muli, attributed the marginal sales growth to the export markets of
"Introduction of VAT on books in
Government orders under the Free Primary Education (FPE) plan accounts for 80 per cent of textbook purchases.
Longhorn's share at the
Longhorn, which is best known for textbooks, has been investing in electronic learning materials to benefit from the government's plan to equip all school children with laptop computers.
READ: Should students be given laptops or e-readers?
"A mix of fresh acquisitions, consolidation of our market leadership and growth in electronic publishing will sustain the company's growth," said Longhorn.
In October, Longhorn acquired books owned by Iconic publisher
Longhorn in 2007 bought out
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