Browsing: Kenya Airways (KQ)

• The Kenyan carrier reported a $29 million net loss in 2022.
• Kenya Airways defaulted on its repayment obligation of $841.6 million loan from the US Export-Import Bank in 2017.
• KQ chairman Michael Joseph claimed there are no plans to offload its shares to Delta Airlines.

The initial plan by the Kenyan government to form an airline partnership with Delta Airlines has gone off the radar as KQ Airlines sets its sights on working out a partnership with South Africa Airways.

This sudden change of direction comes days after the Kenyan Flag carrier reported a $29 million net loss in 2022. According to KQ, partnerships with regional carriers would sustain its current operations long-term while discarding those that appear unnecessary.

Kenya Airways Initial plans for Delta Airways

A drastic change has arrived with Kenya’s new government, President William Ruto who has indicated that the government is not keen on bailing out …

• Total operating costs during the year under review increased to USD930.1 million (Ksh122.4 billion) from USD585.3 million (Ksh77.02 billion).
• This ate into gains made in revenue as total income grew to USD887.5 million (Ksh116.8 billion), from USD533.4 million (Ksh70.2 billion).
• African carriers are expected to post a loss of USD638 million in 2022, narrowing to a loss of USD213 million in 2023, according to IATA.

Kenya’s flag carrier-Kenya Airways has posted the worst loss ever as high operating costs wiped out gains made in revenues last year, as the aviation industry slowly picked from the impact of the Covid-19 pandemic.

The carrier’s has reported a USD290.8 million (Ksh38.26 billion) loss for the year ended December 2022, which is a dip from USD120.6 million (Ksh15.87 billion) posted in a similar period in 2021.

Total operating costs during the year under review increased to USD930.1 million (Ksh122.4 billion) from USD585.3 million (Ksh77.02 …

The continent’s most promising markets are South Africa, Kenya, Nigeria, Mauritius and Tanzania.

According to a PwC report, Hotels outlook: 2019–2023 Future resilience, South Africa would see some sustained but suppressed growth through 2019 hitting R16.8 billion from the R16.7 billion recorded in 2018. With the pandemic, this growth slowed down but the recovery is promising especially with the lockdowns and other safety measures dropped.

The report indicates that overall revenue from hotel room accommodation rose by 0.5 per cent with international visitor numbers to South Africa continuing on an upward trajectory at just 1.7 per cent over 2017 numbers.

“We forecast that hotel room revenue will grow by 0.4 per cent in 2019 to R16.8 billion with a compound annual growth rate of 3.3 per cent over the forecast period. The growth in hotel rooms in South Africa will continue, with an additional 3,800 rooms to be added over …

Kenya Airways has reduced its half-year loss by 19.6 per cent to Sh11.5 billion, from Sh14.4 billion posted during a similar period last year, on account of cost-cutting initiatives implemented during the period.  

In a statement, the airline says the measures helped to partially offset a deceleration in revenues.

During the period under review, the airline’s total operating costs declined by 10.4 per cent to Sh34.6 billion from Sh38.6 billion recorded the previous period.

Meanwhile, total revenue reduced by 9 per cent to Sh27 million, which is attributable to the cessation of domestic scheduled operations in the month of April 2021.

Read: African airlines’ passenger traffic increase by 9.9 per cent in six months to June 2017

It was also on the back of travel restrictions, and lockdowns due to a surge in virus cases in key domestic and international markets including the UK, India, China, UAE, and the US.…

President Uhuru Muigai Kenyatta of Kenya has proposed a commercial partnership between Kenya Airways and South African Airways.

Speaking on Wednesday August 11, 2021 in Mombasa during a virtual meeting with South African Minister for International Relations and Cooperation Ms Naledi Pandor, President Kenyatta said that there was need for Kenya and South Africa to deepen their economic political collaboration.

This, according to the Kenyan head of state will help the two nations see how they can share their ideas and experiences with the rest of the continent.

The virtual meeting was also attended by Kenya’s Foreign Affairs Cabinet Secretary Raychelle Omamo.

Kenya-South Africa Joint Commission for Cooperation (JCC)

President Kenyatta during the meeting called for the elevation of the Kenya-South Africa Joint Commission for Cooperation (JCC) so as to deepen bilateral ties between the two countries.

Also Read: Why Africa’s biggest oil refinery may soon run into …

Kenya’s national carrier Kenya Airways PLC has announce the resumption of flights to Heathrow, London from Nairobi’s Jomo Kenyatta International Airport (JKIA) after a three-month break.

The direct flights, which begun on 26th of June 2021, follows the lifting of the suspension of flights to from the United Kingdom by the Government of Kenya.

The ban was effected on April 9, in retaliation of a similar move by the UK, when they placed Kenya in a list of its prohibited destination.

According to the airline, flights from London will include a one-stop connection through Nairobi to the rest of Kenya and Africa’s key destinations.

Commenting on the development, the airline’s Chief Commercial and Customer Officer Julius Thairu said the the resumption of flights to London, United Kingdom is in line with KQ’s plans to grow and expand their routes even as restrictions related to COVID-19 lift.

“The move will positively …

Kenya Airways (KQ) net loss for the first six months ended June 2020 widened by 67.3 per cent to $132 million due to grounding of flights as a measure to curb the spread of the COVID-19pandemic.

According to Kenya Airways, passenger numbers dropped by 55.5 per cent to 1.1 million compared to 2.4 million recorded over the same period in 2019, affecting its revenues.

According to KQ’s chairman Michael Joseph, the national carrier operations were severely affected by the pandemic resulting in depressed half-year results.

“The network activity from April to June was minimal due to travel restrictions and lockdowns effectively reducing operations to almost nil in connecting our home market to key cities.” He said

This year’s half-year loss is more than the carrier has been posting for the last three years.

In 2019, KQ posted a net loss of $120 million an increase from $70 million recorded in …

Kenya Airways is launching new routes to new destinations as it seeks to turn around years of loss-making despite the airlines’ losses prediction worsening its situation.…