Centum Investment has defended its decision to issue dividends despite reporting a loss for the year ended March 2021, saying it was largely a book loss, emanating from re-evaluation. Last week, the company announced a Sh1.4 billion loss after tax for the consolidated report and Sh606 million loss after tax for the investment company. But despite reporting a loss, Centum announced a dividend payout of Sh0.33 per share totalling Sh218 million. Ordinarily, Centum issues two financial reports; a consolidated report for the various portfolio companies and another for Centum Investment Company alone. Book movements \u201cThe relevant entity for dividend distribution is the company. At the company level, the loss was largely a book loss because it was based on a revaluation and realised revaluation movements. But if you adjust for those book movements, we actually made a profit. And it was on that basis that we declared a dividend,\u201d said Centum CEO, James Mworia. He spoke yesterday during an event by the company to take stock of Somali Cultural festival held at Two Rivers mall between July 19 and July 25 this year. Total sale transactions completed during the seven day event amounted to Sh1.04 billion translating to Sh148,262 per day that went to mall retail tenants and event vendors. Mworia explained that the investment company made a loss due to impairment provisions where it adjusted the valuation of some of its portfolio companies downwards and that resulted in a loss. He said Centum Investments Company expects to return to profitability this year as it does not foresee further valuation adjustments. Performance at consolidated level, however, will largely depend on the performance of each individual company in the portfolio. \u201cWe don\u2019t expect to make further adjustments this year. At operating level we had made a profit. At the company level my expectation is that this year we should be profitable,\u201d Mworia said.