Kenya Airways has sunk into a Sh12 billion loss for the first six months of 2025, erasing the Sh513 million profit it reported during the same period last year, as fewer passengers, grounded aircraft and weakened revenues disrupted its recovery.
The national carrier attributed the downturn to the prolonged grounding of three Boeing 787-8 Dreamliners, representing a third of its wide-body fleet, which remained parked owing to supply chain shortages and engine availability problems.
The disruption severely reduced its ability to serve long-haul routes, leaving passenger traffic 14 per cent lower and available seat capacity down by 16 per cent.
Revenue tumbled by 19 per cent to Sh75 billion, compared to Sh91 billion in the first half of 2024.
Meanwhile, fleet ownership costs climbed by 29 per cent, a rise Kenya Airways linked to asset remeasurement and the addition of a new Boeing 737 aircraft.
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The airline managed to trim operating costs by 10 per cent as operations scaled back, but the savings were not enough to offset the sharp fall in income.
Chief Executive Allan Kilavuka admitted the airline had endured a bruising period but emphasised that customer appetite for international travel had not waned.
“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 stated.
“Even in the face of these challenges, passenger demand for international routes remains robust, underscoring the strength of our brand.”
Kenya Airways confirmed that one Dreamliner returned to service in July, while the remaining two are expected to resume operations before the end of the year.
The airline also outlined priorities, including the full restoration of its fleet, continued cost optimisation, and completion of a capital-raising programme to strengthen liquidity.
According to the International Air Transport Association (IATA), global passenger traffic is projected to expand by 5.8 per cent in 2025, though cargo growth is expected to slow to 0.7 per cent.
Kenya Airways stated it would keep working to build efficiency in its operations, guard against inflationary and fuel-related pressures, and reinforce its role in driving trade and connectivity across Africa.
Despite the turbulence, the airline signalled that it is holding to its long-term growth path, counting on the resilience of international travel demand and the return of its Dreamliners to stabilise performance in the months ahead.
