National Carrier Kenya Airways (KQ) bounced back to profitability after ten years financial troubles.
KQ posted Sh513 million in net profit helped by reduced exposures from foreign currency fluctuations and the restructuring of its loans by the state.
This is a rebound of up 102 per cent from the Sh21.7 billion losses that the airline posted in a similar period last year.
In the six months to June 30, 2024, KQ’s total income rose by 22 percent year-over-year to Sh91.49 billion, on renewed passenger demand and operational efficiency.
Total operating costs decreased by 22 per cent to Sh90.20 billion, contributing to a 30 per cent increase in operating profit, which reached Sh1.30 billion.
“The operating margin improved slightly, rising by 0.1 percentage points to 1.4 per cent,” said Kenya Airways Chief financial officer Hellen Mwariri.
The most notable achievement was the airline’s return to profitability, posting a net profit of Sh513 million, a significant turnaround from the Sh21.7 billion loss recorded in the first half of 2023.
The net margin also improved markedly, moving from -28.9 percent in June 2023 to 0.6 per cent in June 2024.
Email your news TIPS to Editor@Kahawatungu.com — this is our only official communication channel
