Kenya Airways posts record $290M loss despite revenue growth in 2022

Kenya Airways remained loss-making in 2022 with a net loss more than doubling to hit a record Ksh38.26 billion ($290.62 million).

It grew 1.4 times from Ksh15.87 billion ($120.55 million) posted in 2021 and took the national carrier’s accumulated loss to Ksh172.68 billion ($1.3 billion).

The results were announced during a virtual investor briefing, Monday (Mar. 27).

Costs grew from Ksh86.4 billion ($656.29 million) to Ksh155 billion ($1.18 billion), mainly driven by rising fuel prices. Other direct operating costs shot up due to increased capacity.

However, the board said the airline was on course to hit break-even point this year and profitability by 2024; something it has not done since 2012.

Kenya Airways saw its total revenue increase by 66 percent to Ksh117 billion ($888.73 million) as passenger numbers rose by 68 percent to 3.7 million and cargo business uplift increased by 3.5 percent to 65,955 tonnes.

The State last year took over the Ksh69.01 billion ($525 million) debt it had guaranteed Kenya Airways after the airline defaulted on payment.

Last month, in announcing a multi-million dollars loan for the east African country, the International Monetary Fund highlighted that "addressing vulnerabilities" at Kenya Airways and utility Kenya Power was "urgent".