Kenya Airways Posts First Half-Year Profit After Tax Since 2013

Kenya Airways has announced a significant milestone in its pursuit of profitability, achieving its first profit of Kshs 513 million after tax since 2013.

For the first half of the financial year ending June 30, 2024, the airline reported a profit after tax of Kshs 513 million, a significant turnaround from the Kshs 21.7 billion loss in the corresponding period the previous year.

This progress is credited to the airline’s strategic transformation initiative, Project Kifaru, which focuses on customer-centricity, operational excellence, financial discipline, innovation, and sustainability.

In terms of passenger growth the airline experienced a 10% increase in passenger traffic, reaching 2.54 million passengers. Capacity Expansion, available seat Kilometers (ASKs) rose by 16% to 7.991 billion, while Revenue Passenger Kilometers (RPKs) increased by 14%. Revenue Increase, total revenue surged by 22% to Kshs 91 billion, driven by the higher passenger numbers. The airline’s operating costs increased by 22%, in line with capacity growth, while overheads were reduced by 22%, demonstrating the airline’s commitment to cost efficiency. The airline’s profit after tax saw an extraordinary 102% improvement, underscoring the effectiveness of the ongoing recovery strategy.

Allan Kilavuka, CEO of Kenya Airways, also expressed optimism about the improved financial results, stating, “Our financial performance clearly shows that our strategic initiatives are yielding the desired outcomes. We have concentrated on strengthening our core operations, enhancing customer service, and exploring new growth opportunities. This strong performance positions us well to tackle the challenges of the aviation industry and prepare for future growth.”

Kilavuka added that the airline’s commitment to operational excellence, customer satisfaction, and innovation is already producing the desired results.