KENYA AIRWAYS RELEASES RESULTS
The Pride of Africa released their annual results today at 07.00 a.m. at the Intercontinental Hotel in Nairobi, when Group CEO Dr. Titus Naikuni was addressing the media in the presence of other senior Kenya Airways staff including their Finance Director.
The regional airline giant posted after-tax profits which were 73.9 percent up compared to the same period last year, largely attributed to smart fuel hedging contracts but also a much improved business environment, risen demand on continental and intercontinental services and the introduction of new yet winning destinations across Africa and elsewhere.
Recapturing the domestic market with a return to Malindi and now offering considerably more flights to Kisumu and Mombasa too added to the return to good fortunes for Kenya Airways. More flights into the region with a now early morning departures from every EAC member country to capture network connections in Nairobi also contributed greatly to KQ’s improved passenger numbers as did the late evening flights to Dar, Entebbe, Bujumbura and Kigali. Passenger revenue and turnover improved by just over 20 percent in comparison with the 2009/10 financial year and KQ carried 3.137 million passengers during the financial year, an increase of 8.5 percent. Cargo and courier services too improved by a remarkable 20 percent, and with the arrival of a dedicated cargo aircraft this division is expected to outperform past years in coming months and years considerably.
The board recommended paying a final dividend of 1.50 Kenya Shillings, which will make shareholders smile as institutional and private investors keep flocking back to KQ to take advantage of rising share prices which are expected for the coming months. The airline expressed confidence in the market developments for the 2011/12 financial year and analysts in fact found the relative restraint of KQ’s management over the rosy outlook for the airline a little too reserved, considering that major global upheavals being avoided the ‘Pride of Africa’ will surely look at record results in a year’s time, outstripping past mega performances before the global economic and financial crisis struck and Kenya had a period of political uncertainty following the end December 2007 elections.
Up to date reporting courtesy of Chris Karanja, Corporate Communications and PR, Kenya Airways