NAIROBI, Kenya, Aug 26 – Kenya Airways has posted a Sh12 billion loss for the first half of 2025, reversing a Sh513 million profit in the same period last year, as grounded aircraft and reduced passenger traffic dragged down revenue.
The airline blamed the downturn on the grounding of three Boeing 787-8 Dreamliners — a third of its wide-body fleet — due to supply chain disruptions and engine availability challenges.
Passenger numbers fell 14 per cent, while available seat capacity dropped 16 per cent. Revenue slid 19 percent to Sh75 billion, from Sh91 billion a year earlier. Fleet ownership costs, however, jumped 29 per cent following asset remeasurement and the addition of a new Boeing 737 aircraft.
Operating costs declined by 10 per cent in line with scaled-down operations. The airline said the grounding severely constrained its ability to serve international routes, though one Dreamliner resumed service in July, with the other two expected back before year-end.
Optimism
CEO Allan Kilavuka acknowledged the turbulence but struck an optimistic tone, noting that demand for international travel remains strong.
“The first half of 2025 was defined by industry-wide challenges that directly impacted our performance, particularly the grounding of three of our aircraft,” Kilavuka said.
“Even in the face of these challenges, passenger demand for international routes remains robust, underscoring the strength of our brand.”
Kenya Airways says it is prioritizing the restoration of full fleet capacity, advancing cost optimization, and completing a capital-raising program to shore up liquidity.
According to the International Air Transport Association (IATA), global passenger traffic is projected to grow by 5.8 per cent in 2025, while cargo demand growth will slow to 0.7 per cent.
KQ says it will continue pursuing operational efficiencies to cushion against inflation and fuel price volatility, while positioning itself as a key driver of connectivity and trade across Africa.
