KQ narrows profit loss to Ksh.15.8 billion in 2021 full year results

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The national carrier, Kenya Airways has reported a net loss of Ksh.15.8 billion for the financial year ended December 2021.

This is a drop of 56.58 percent compared to Ksh.36.2 billion it posted in the same period the previous year amid the heightened COVID-19 travel restrictions.

In the year under review, Kenya Airways recorded a total revenue of 32.98 percent to Ksh.70.22 billion, attributed by alternative sources that included  air charter services.

This gained 300 percent which helped to compensate for income lost due to travel restrictions on some routes amid the volatile COVID-19 environment.

In a statement, KQ chairman Michael Joseph said the airline lowered its total operating expenses by Ksh.2.89 billion, translating to 3.62 percent, to Ksh.77.02 billion compared to 2020.

“Kenya Airways took advantage of the lockdown period to restructure and transform our operations and products. We have seen some good recovery on our domestic, regional, and selected international routes.”

At the same time, KQ also reduced lease rentals for aircraft by Ksh.10 billion resulting in an operating plunge of Ksh.6.8 billion, down from  Ksh.27.11 billion recorded in the year before.

Over two million passengers have flown on its planes reporting  a 25 percent growth over the previous year.

The cargo business grew 29 percent to 63,726 tonnes following the conversion of its planes into cargo when a coronavirus pandemic hit operations hardest, including the grounding of its planes for months.

For the  ninth time , the airline has been running into losses without making a single profit.

The cumulative net loss now stands at Ksh.144.64 billion, the largest for any company in Kenya.

Kenya Airways negative equity deepened to Sh83.4 billion at the end of 2021 from Sh64.2 billion the previous year.

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