Kenya Airways (KQ) has today announced its financial results which have seen it make a further loss of Ksh 3.992 billion.
However, the results show that the airline’s half year results ending 30th June, 2018 has seen a 30.8 percent improvement. KQ has attributed the improvement to passenger numbers which increased by 6.6 percent to 2.3 million, while cargo uplift increased by 13 percent to 31,973 tonnes over the same period last year meaning that the volume of business increased but there is no hope as KQ is bogged down in unnecessary expenditures.
Shockingly, the airline is still reporting 13.9 per cent increase in direct operating costs due to what it calls increased pressure on global fuel prices.
The only major positive from the financials is that the fleet costs reduced by 2.2 percent, something which is attributed to the fleet rationalisation completed in November 2017.
The airline formerly made a pre tax loss of Kshs 5,771 million in 2017.
While the Airline is expanding its network, it is not improving on the processes and the airline is still facing a bleak future despite cash injection and the removal of corrupt staff members. Michael Joseph and the new CEO doesn’t seem to be making any serious impact on the airline.
Kenya Airways has recently launched flights to Mauritius and non-stop flights to Cape Town, South Africa. The airline is in final preparations for its maiden non-stop flights to New York on October 28, 2018, something which is facing headwinds from rogue operators at Wilson Airport who are making it hard to have a safe operating air transport environment.
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