CEC Zambia is a well-established, private-sector power transmission, distribution, and generation company with over two decades of uninterrupted operations in Zambia’s Copperbelt Province. It is one of the most liquid and stable stocks on the LuSE, known for its consistent dividend payments, strong cash flows, and clear infrastructure-driven business model. Through the success of CEC Renewables, the Group is now positioning itself not only as a reliable utility partner, but also as a key player in Africa’s energy transition. CEC Zambia’s share price performance in 2024 reflected strong investor confidence and sustained operational momentum. The company’s share price on the LuSE opened at K7.02 on January 2nd and rose to K13.85 by December 31st, marking a year-to-date increase of 20.30%. Over the full 52-week period, the stock gained an impressive 116.23%, making it one of the standout performers on the Lusaka Securities Exchange.
For investors, this marks an opportunity to gain exposure to an integrated energy platform that is delivering both yield and growth- a rare combination in emerging markets infrastructure.
The results reveal more than strong financial growth, they reflect disciplined capital management, operational excellence, and a well-structured platform for long-term infrastructure investment. For current and prospective shareholders, the 2024 performance paints a picture of a company well-positioned to deliver stable, inflation-resilient, and ESG-aligned returns.
Revenue and Profitability
The company’s revenue grew significantly from US$ 2.53 million in 2023 to US$ 8.66 million in 2024, marking a 242% year-on-year increase. This jump is attributable to the commissioning of the 60 MW Itimpi Phase 1 Solar PV Plant in April 2024, which began contributing revenue immediately upon entering commercial operation. In addition to increased output, the plant benefitted from a robust performance ratio, ensuring that the theoretical generation potential translated into real, billable energy.
Earnings before interest, tax, depreciation, and amortisation (EBITDA) rose from US$ 2.17 million in 2023 to US$ 7.13 million in 2024, an increase of 229%. This translates to an EBITDA margin of approximately 82%, a level considered very strong in the infrastructure sector. It indicates that the business model-underpinned by long-term Power Purchase Agreements (PPAs), is operating with high cost efficiency and generating ample free cash for reinvestment and debt servicing.
Net profit after tax increased nearly fivefold, from US$ 0.22 million to US$ 1.08 million, reflecting not only revenue growth but also prudent cost control. The company’s ability to deliver profit in the second full year of operations is particularly notable, given the heavy capital expenditure that characterises the early life of energy infrastructure firms.
Financial Structure and Liquidity
Total assets grew from US$ 78.21 million in 2023 to US$ 201.92 million in 2024, an increase of 158%. This was driven primarily by capitalisation of the new Itimpi Phase 1 asset, as well as the accumulation of cash from bond issuances ahead of Phase 2 development.
A key highlight of the balance sheet is the company’s cash and bank balances, which rose from US$ 24.95 million in 2023 to US$ 135.62 million by the end of 2024. This significant cash position supports working capital needs, covers near-term project costs, and reduces refinancing risk.
At the same time, net debt decreased from US$ 26.28 million in 2023 to US$ 10.24 million in 2024, a 61% reduction. This is a remarkable outcome, especially in the context of high capital expenditure and new bond financing. It reflects the company’s conservative treasury strategy and strong operating cash inflows.
Net assets grew modestly from US$ 18.58 million to US$ 21.12 million, highlighting that while the company is growing through debt, it is simultaneously building equity value for shareholders.
Key Financials: Comparing 2024 vs. 2023
Metric 2024 2023 Change
Revenue US$ 8.66 million US$ 2.53 million +242%
EBITDA US$ 7.13 million US$ 2.2 million +228%
Profit After Tax US$ 1.1 million US$ 0.2 million +391%
Total Assets US$ 201.92 million US$ 78.21 million +158%
Cash and Bank Balances US$ 135.62 million US$ 24.95 million +444%
Net Debt US$ 10.24 million US$ 26.3 million –61%
Net Assets US$ 21.12 million US$ 18.6 million +14%
The headline here is clear: revenue more than tripled, and profit margins were sustained at high levels, showing that growth is not coming at the cost of efficiency.
Operational Metrics
CEC Renewables reported total generation of 153.8 GWh in 2024, a 230% increase from 2023. The rise is directly linked to the commissioning of Itimpi Phase 1, which alone contributed 95.3 GWh during the year. This increase in generation is crucial, as it reflects the underlying performance and reliability of the assets.
The Performance Ratio (PR), which measures the actual output versus the maximum possible output of the solar plants, stood at 83% for 2024. This compares favourably to the 80% PR recorded in 2023, indicating enhanced operational efficiency. A PR above 80% is considered excellent in solar generation and shows that minimal energy is lost to system inefficiencies, weather, or poor maintenance.
The Capacity Factor (CF), shows how often the plant is generating electricity- stood at 22%, up from 18% in 2023. For solar PV plants in Sub-Saharan Africa, this is a high figure, reflecting a combination of strong solar irradiance and good asset availability. Both PR and CF are important indicators that the company’s assets are technically sound and well-managed.
Capital Expansion and Green Bond Programme
CEC Renewables’ expansion strategy is built on sustainable finance. In 2024, the company secured US$ 96.7 million in a second tranche of its US$ 200 million Green Bond programme, bringing the total raised to US$ 150.3 million. This tranche was raised at a cost of 8.23%, down from the 9% coupon on the first tranche, a clear sign of growing investor confidence.
The proceeds will finance the 136 MW Itimpi Phase 2 Solar PV Plant (Project Kudu), which is currently under development. When complete, it will bring the company’s capacity to 230 MW, cementing its position as the country’s largest solar generator.
The Green Bond is listed on the Lusaka Securities Exchange (LuSE), improving transparency and offering fixed-income investors access to one of Zambia’s most bankable renewable energy assets.
Governance and Sustainability Commitments
CEC Renewables has demonstrated strong corporate governance, with key committees established for audit, risk, remuneration, and investment. Three Independent Non-
Executive Directors were appointed in 2024, bringing board gender diversity to 50% and enhancing strategic oversight.
On the sustainability front, the company avoided 51,373 tonnes of CO₂ emissions in 2024, more than double the previous year’s figure. Robotic panel cleaning systems were introduced, reducing water usage by over 30%. Biodiversity studies, stakeholder consultations, and community engagement efforts were integrated into all major project activities.
Investor Outlook: A Stable Platform for Scalable Growth
CEC Renewables has moved decisively from a development-stage company to a reliable energy producer with a clear path to expansion. Its financial results indicate a robust, cash-generative business model supported by disciplined capital deployment and sound governance.
For equity investors, the value proposition lies in long-term capital appreciation, backed by rising energy demand, fixed PPAs, and Zambia’s commitment to renewable energy. For fixed-income investors, the listed Green Bond offers visibility, strong ESG alignment, and attractive yields within a stable project-finance structure.
In summary, CEC Renewables is not just an energy company, it is becoming a vital utility platform, delivering environmental impact, national relevance, and consistent financial performance. With additional capacity coming online and strong foundations already laid, the company is poised to deliver greater value to shareholders in the years ahead. From a shareholder’s perspective, CEC PLC now offers dual value: the stability of its core transmission and distribution business, and the high-growth potential of its renewable energy investments. With Zambia’s energy demand rising and the country committed to increasing renewable generation, the Group’s assets are aligned with both policy priorities and long-term market fundamentals.
For investors looking for inflation-resilient cash flows, regulated utility stability, and clean energy growth, CEC through its listed equity or its Green Bond program, represents a compelling opportunity in Zambia’s evolving capital market landscape.
