Kenya Airways reports widened Sh16.1 billion half-year loss

Kenya Airways has reported a widened net loss of Sh16.08 billion for the first six months of the current financial year, up from a loss of Sh12.2 billion in the previous period. The airline attributed the decline to rising operating costs, which increased by approximately 14 percent to Sh91.9 billion, outpacing a 9.1 percent growth in revenue.

Key drivers of the financial downturn include a 66 percent surge in jet fuel prices, linked to geopolitical instability in the Middle East, and global supply chain disruptions that hindered the availability of aircraft and spare parts. These factors contributed to a 9 percent decline in available seat kilometres.

Despite the losses, the carrier noted some positive commercial indicators, including a 17.5 percent increase in cargo revenue and an improved cabin factor, suggesting more efficient seat utilization. The airline aims to strengthen its cargo business with a target of a 40 percent market share and a capacity of 250 tonnes per day.