AFRICA ( commonwealth Union ) _ Along with a net loss that increased by more than twofold to a record Ksh38.26 billion ($290.62 million), Kenya Airways continued to operate at a deficit in 2022. From Ksh15.87 billion ($120.55 million) reported in 2021, it increased by 1.4 times, bringing the national carrier’s total deficit to Ksh172.68 billion ($1.3 billion).
On Monday, the findings were released during a virtual investor briefing. (Mar. 27). Due primarily to increasing fuel prices, costs increased from Ksh86.4 billion ($656.29 million) to Ksh155 billion ($1.18 billion). Due to the increase in capacity, other direct operating expenses also rose.
The airline, which has not achieved profitability since 2012, is on track to reach break-even position this year and profitability by 2024, according to the board.
As passenger numbers increased by 68 percent to 3.7 million and cargo business uplift increased by 3.5 percent to 65,955 tonnes, Kenya Airways saw its total income increase by 66 percent to Ksh117 billion ($888.73 million).
Following Kenya Airways’ payment default last year, the State assumed responsibility for the Ksh69.01 billion ($525 million) debt it had previously guaranteed for the carrier. The International Monetary Fund emphasized last month that addressing vulnerabilities at Kenya Airways and utility Kenya Power was urgent when it announced a multi-million dollar credit for the east African nation.
The airline, which has not achieved profitability since 2012, is on track to reach break-even position this year and profitability by 2024, according to the board. As passenger numbers increased by 68 percent to 3.7 million and cargo business uplift increased by 3.5 percent to 65,955 tonnes, Kenya Airways saw its total income increase by 66 percent to Ksh117 billion ($888.73 million).
