Paul John's side bowed at the Bowl semi-final stage in the Wellington Sevens.
Wales bowed out of a disappointing Herts Sevens tournament in New Zealand when Kenya dumped them out of the Bowl at the semi-final stage.
Paul John's men picked up five points from the tournament to slip down the overall rankings one place to eighth while New Zealand top the table on 73 points after beating closest rivals Fiji 24-7 to retain their Wellington title and take an outright lead in the HSBC Sevens World Series after four of nine rounds.
Having been knocked out of the main draw on day one, Wales were hopeful of a successful Bowl campaign on day two.
Wales edged a tense quarter final against United States with tries by Matthew Pewtner and Kristian Phillips securing passage to the semi finals with a 10-0 victory.
But Kenya, who are slowly getting back to the type of form which made them such dangerous opponents a couple of years ago, brushed Wales aside 17-7 in the semi-final to end any hopes of silverware for the men in red.
Kenya scored two tries in the first half through Sidney Ashioya and Leon Adonga with Nato Linus Simiyu adding a conversion to put the Africans firmly in control at 12-0.
Wales battled back in the second half with Pewtner racing over with Alex Walker adding the extras. With Wales slowly but surely getting back into the game, Kenya took the sting out of the comeback with Simiyu knocking over a penalty to guide Kenya to a 17-7 win.
The Kenyans went on to win the Bowl final against Australia to claim their biggest haul of points in the series so far (8) while Wales were left to lick their wounds as they focus on the next leg in Las Vegas next week.
The Half a Game initiative is currently sweeping across Wales and proving a major success. The scheme aims to give every young player at least half a game every weekend. WRU TV recently visited a festival in Narberth where clubs have fully embraced the initiative.
Both Bargoed and Swansea were seeking their first win of the Principality Premiership season this afternoon. It proved a fruitful day for the hosts - not only did they win, but Bargoed claimed a try bonus point.
Cardiff managed to keep their unbeaten record at home intact, but only just as Bridgend made them work extremely hard before the Blue and Blacks secured a hard fought Principality Premiership win at the BT Sport Arms Park last night.
Former Wales back row Andy Powell gives a guided tour of The Wern, home of Merthyr RFC, who are determined to prove a lot of people wrong and make their mark in their first season in the Principality Premiership.
Wales Sevens head coach Gareth Williams looks back on the Rio Sevens success where he helped GB win silver. He believes the successful campaign is a huge boost to his Welsh squad as they prepare for another World Series, as WRU TV's Graeme Gillespie discovers
British and Irish Lions head coach Warren Gatland will be heading back home to take on the All Blacks next year where for him, success for 2017 is all about going to New Zealand and winning a Test Series.
Last week all roads led to Eugene Cross Park where defending champions Ebbw Vale hosted this season's launch of the Principality Premiership. WRU TV's Graeme Gillespie was there to capture the thoughts of Damien Hudd, captain of Ebbw Vale, and WRU Head of Performance, Geraint John.
Llandovery made it three in a row when they defeated Aberavon in the final of the National Foster's 7s at BT Sport Cardiff Arms Park on Sunday. On another eventful day of sevens, Newport claimed the Plate and the Dragons won the women's crown
Last week saw Cardiff welcome players from around the world for the 21st Golden Oldies Festival. The tournament features players over 35 years of age, and this year's event saw a select few represent the WRU in a 'friendly' against the Wooden Spoon.
Wales Under 18 captain Callum Bradbury is delighted to have seen his side claim a narrow 18-17 victory against a strong SA Schools 'A' side to end the three-match Under 19 International Series in South Africa on a high note.
The Wales U18 squad spent an emotional day in the drug-riddled townnship of Hout Bay. Hout Bay Warriors President Fred Johannes said the visit was 'the talk of the town' and will dream about the day everyday for the rest of his life.
RGC 1404's new head coach Mark Jones is hoping to build 'something special' in north Wales and is already looking forward to the development region participating in the Principality Premiership for the very first time.