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Kenya Airways Smart Tricks That Saved It from Losses

Kenya Airwaysrecorded a Ksh10.5 billion operational profit for the first time in seven years, according to the results released for the year ending December 2023.

by Ndungu Chiuri
March 27, 2024
Reading Time: 3 mins read
A photo collage of a Kenya Airways aircraft and a photo of the airline's CEO Allan Kilavuka.

A photo colage of a Kenya Airways aircraft and a photo of the airline's CEO Allan Kilavuka. PHOTO/Courtesy.

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National flag carrier Kenya Airways has registered a Ksh10.5 billion operational profit for the first time in seven years, according to the results released for the year ending December 2023.

As per the results, the airline cut down its net loss by Ksh40.6% to Ksh22 billion to highlight what has been a remarkable year in its comeback strategy.

At the core of the positive performance was an increase in the airline’s revenue, with the results showing that its total revenue increased by 53% to close at Ksh 178 billion.

In addition, KQ reported a higher turnover of 53% as a result of higher passenger numbers and increase in capacity deployed.

In terms of the company’s operating cost, KQ reported a 37% increment in total operating costs which is mainly attributed to increased operations as the Airline bounced back from the Covid-19 impact.

A photo showing a Kenya Airways KQ aircraft in hangar at the JKIA in Nairobi.
A photo showing a KQ aircraft in hangar at the JKIA in Nairobi. PHOTO/Courtesy. 

However, due to its fleet rationalization strategy, the fleet costs for the year ended December 2023 were lower by 47.5%.

The airline also felt the heat of the volatility in the foreign exchange market in a year that the Kenyan Shilling ceded much ground to the United States Dollar. 

As per the report, KQ’s overheads increased by 22% due to increase in employee costs and foreign currency losses caused by devaluation of the Kenya Shilling against major world currencies, especially the US Dollar.


Also Read: KQ Announces More Flights to London


Its loss after tax reduced by 41% to Ksh 23 billion from Ksh 38 billion while its gross profit went up by 112%.

CEO details strategies keeping Kenya Airways Afloat

Speaking at an investor briefing event, KQ CEO, Allan Kilavuka, attributed the positive results to its strategy focusing on improving customer experience, operational excellence, and cash conservation.

According to Kilavuka, the comeback strategy has focused on improving the airline’s convenience to its customers by reducing delays. The CEO also mentioned the introduction of a loyalty program for its customers and a newly revamped website as some of the reasons contributing to KQ’s bounce back.

Other strategies that came in handy for the airline include ramping up its scheduled operations to raise more revenue and its partnerships with 


Also Read: KQ Breaks Silence on Staff Shortage Causing Flight Disruptions


“These efforts resulted in the airline improving its On-Time Performance (OTP) to a high of 76% from an average low of 58% at the beginning of the year, ranking it as Africa’s second most efficient airline,” Kilavuka noted.

“Additionally, the introduction of the Asante rewards loyalty program and the revamp of KQ’s website aimed to better appreciate and reward customer loyalty while improving user-friendliness and functionality.” 

On his part, Kenya Airways Chairman, Michael Joseph said, the figures highlight the airline’s remarkable performance over the year and termed the results encouraging signs of continued recovery within the air transportation sector.

Regarding the airline’s next focus, CEO Alan Kilavuka said it will work towards fostering innovation, nurturing partnerships, and cultivating a culture of excellence in the company.

An airborne Kenya Airways KQ aircraft.
An undated photo of an airborne KQ aircraft. PHOTO/Courtesy. 
Tags: Kenya AirwaysKQKQ CEO Allan Kilavuka
Ndungu Chiuri

Ndungu Chiuri

Robinson is a digital journalist for The Kenya Times, dedicated to informing the public and telling compelling stories that impact people's lives. I am passionate about politics, current affairs, and feel-good stories that cover the achievements of individuals in society. With a skill set of modern trends in journalism, I am committed to upholding accuracy, independence, and objectivity in my practice to fit in the dynamic media space. You can reach me at [email protected].

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