Kenya Airways Chairman says KQ has plan to tackle debt as loss widens to Ksh16.08B
Kenya Airways has a plan to address its debt and return to sustainable profitability despite a sharp increase in its half-year loss, Chairman Kiprono Kittony said, as higher fuel and operating costs continued to weigh on the national carrier. “We are very confident that the path ahead is positive. We have a turnaround strategy and […]
Kenya Airways Chairman Kiprono Kittony revealed the airline's plan to tackle its mounting debt and debt amid a significant rise in losses, in a recent interview. Despite the sharp increase in losses, Kittony expressed confidence in the company's future, stating that they have a turnaround strategy and are already working on it. The strategy involves cleaning up the balance sheet with the support of shareholders.
Turning to the financial figures, Kenya Airways reported a net loss of Ksh16.08 billion for the six months to June 2026, an increase from Ksh12.15 billion in the same period last year. The pre-tax loss was Ksh15.92 billion, up from Ksh12.17 billion a year earlier. Despite a 9% increase in turnover to Ksh81.25 billion, from Ksh74.5 billion in the first half of 2025, the wider loss was due to a 11 billion Ksh rise in operating costs to Ksh91.9 billion, pushing the operating loss to Ksh10.6 billion, up from Ksh6.24 billion in the first half of 2025.
The chairman highlighted the need for additional capital to address fleet constraints, primarily for the acquisition of engines and spare parts. He also mentioned that Kenya Airways is preparing an investment memorandum to strengthen its financial position and reduce costs. Fuel has emerged as a major pressure on the airline's finances, with its costs rising 66% in the first half of 2026, accounting for 53% of total expenditure, a significant increase from previous years.
Kittony also pointed to stronger demand and improving aircraft utilization as areas of resilience. Despite these challenges, KQ reported its revenue as the second-highest half-year level in the airline's history. The chairman emphasized Kenya Airways' role in tourism, trade, and connectivity, stating that the airline is a facilitator of trade and connects the country to its tourism potential and diaspora.
Despite the turbulent times, Kittony expressed confidence that the airline has a plan and the management team is actively addressing the losses.
Written by urgent.news from People Daily Kenya's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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