KQ Loss Widens to Sh16.1 billion

Kenya Airways (KQ) reported a widening net loss of Sh16.1 billion for the first half of 2026, up from Sh12.2 billion during the same period in 2025. The increase in losses was primarily due to rising fuel and aircraft maintenance costs, which put financial pressure on the national carrier. Operating costs surged to Sh91.9 billion from Sh80.7 billion a year earlier, with fuel expenses accounting for the majority of the increase.

KQ attributed the 32% rise in fuel expenses to a 66% price jump caused by geopolitical tensions in the Middle East, leading to a corresponding increase in jet fuel costs. The airline also faced operational challenges after grounding three Boeing 787 Dreamliners, which reduced fleet capacity and increased maintenance requirements.

KQ's financial woes highlight the vulnerability of airlines to fuel price volatility and external factors such as energy market fluctuations, geopolitical disruptions, and aircraft availability. The carrier remains a critical player in East Africa's aviation sector, connecting the country to destinations worldwide, but will need to navigate the challenges of rising operating expenses and maintain fleet availability to improve its financial performance in the coming months.