Longhorn Publishers widened its losses by 10 per cent to Sh261 million for the year ended June 2025 as sales dropped by 56 per cent from Sh1.5 billion reported last year to Sh680 million. The company said the huge drop in sales reflected disruption in both government and private markets.
“Revenue for the year declined by 56 per cent to Sh680m (FY24: Sh1.54bn), reflecting disruption in both the private and government markets,” Longhorn said in the commentary accompanying the results.
Longhorn slashed its cost of sales by 57 per cent to Sh521m, from Sh1.2 billion last year as sales plunged by 56 per cent.
The company fell into operating loss territory despite reducing operating expenses by 20 per cent to Sh328m, recording a Sh35m operating loss compared to the operating profit of Sh165m it reported in the prior year.
The company was however optimistic of a turnaround, saying the sector is expected to stabilize with curriculum rationalization complete and final CBC approvals in place.
The company said:
“With curriculum rationalization complete and final CBC approvals in place, stability is expected to return to the sector. Development costs will decline, while clarity in curriculum requirements should support renewed sales momentum.”
“The Company has secured government contracts and anticipates stronger uptake in the private market. Its digital platforms — now serving 300+ schools and 50,000 learners — continue to grow, providing an additional engine of expansion. With the rollout to Grade 12 nearing completion, the business is positioned to move into a more stable and profitable phase.”
In the last 7 years, the company has invested over Sh719m in CBC content development, absorbed Sh254m in inventory and debtor impairments and wrote off Sh149m in development costs.
