Kenya Airways has reported a record Sh25.7 billion loss after tax attributable to competition from Middle East carriers and high operating costs.
The airline also blamed travel advisories that led to a slump in the tourism industry, as well as runway closures for renovation, for eating into the company’s 2014/2015 full-year earnings.
“We have had turbulent times and this loss is obviously significant. It is, however, important to know that we have made significant investments at a time when the industry generally was going through had times,” said Chief Executive Officer Mbuvi Ngunze.
The flag carrier has secured a Sh20 billion loan to avoid sinking into complete bankruptcy.
The airline’s troubled relations with pilots and crew have also significantly contributed to the loss.
Below are the full year net earnings for KQ in the last 5 years.
Here is an overview of the company’s income statement as announced.
Source: Daily Nation