An airline company has announced its first profit since 2013, attributed to increased revenue and reduced operating expenses. The national carrier recorded a $3.9 million (KES513 million) net profit in H1 2024, marking a 102% rise from the previous year and a significant turnaround from the $168.3 million (KES21.7 billion) loss in H1 2023.
The company aims to achieve its first full-year profit in over a decade in the upcoming year.
During an earnings call, Michael Joseph, the chairman of the airline, expressed satisfaction with the results, highlighting the potential for further improvement.
Total income for the airline increased by 22% to $709.8 million (KES91.49 billion), while operating costs decreased by 22% to $699.8 million (KES90.20 billion).
The group managing director, Allan Kilavuka, stated the airline’s goal to break even by the end of 2024, emphasizing the company’s commitment to transforming into a stable and sustainable entity.
The government, holding a 48% stake in the carrier, faced insolvency in 2018 due to accumulated dollar-denominated debts following years of expansive operations.