From Daily Salary of Ksh1 Million To Ksh125,000 – The Interesting Story of Centum CEO James Mworia -

From Daily Salary of Ksh1 Million To Ksh125,000 – The Interesting Story of Centum CEO James Mworia

James Mworia, CEO of Centum Investment Company, is often viewed as one of the top-paid CEOs in Kenya. However, he disputes this notion, stating that his focus was never on his salary or perks, but rather on how to add value to the company and share in that value.

In 2017, Mworia’s salary was reported to be Ksh375.6 million per year, which equated to Ksh31.3 million per month and Ksh1 million per day, making him the highest-paid CEO in Kenya. However, in 2018, his salary dropped to Ksh177.6 million per year, or Ksh14.7 million per month, which included a bonus of Ksh132 million.

In 2020, Mworia’s salary was even lower, at Ksh45 million, as he did not receive a bonus due to not meeting annual performance targets. This equates to a monthly salary of Ksh3.75 million or Ksh125,000 per day.

In 2020, the company made a profit of Ksh4.6 billion, but in 2021, it experienced a historic loss of Ksh1.37 billion, resulting in Mworia missing out on bonuses for the second consecutive year. The company continued to struggle, posting a Ksh662.1 million loss after tax in the first half of 2021, which was an improvement from the previous year but still concerning.

The losses were driven by Two Rivers Development and real estate investments, with Centum holding a 58% stake in Two Rivers. Despite an improvement in the loss from Two Rivers, Centum still recorded a Ksh142 million loss from other real estate investments in the first half of 2021.

As of September 30, 2021, Centum’s total assets were valued at Ksh47.3 billion, with a market capitalization of Ksh11.9 billion. Real estate and private equity make up 81% of the company’s portfolio, while marketable securities account for the remaining 19%.

Due to the recent losses, Mworia has fallen from the top position as the highest-paid CEO in Kenya, with the title now being held by Gideon Muriuki (Co-op Bank), followed by Joshua Oigara (KCB) and James Mwangi (Equity).