Kenya Airways Reports KSh 12 Billion H1 2025 Loss Amid Grounded Fleet

Kenya Airways reported a significant net loss of approximately KSh 12 billion for the first half of 2025, marking a sharp reversal from a profit in the same period last year. The airline attributed the downturn primarily to the temporary grounding of three Boeing 787-8 Dreamliner aircraft, which reduced passenger numbers by 14% and available seat capacity by 16%, leading to a 19% decline in revenue to about KSh 75 billion. Operating losses reached over KSh 6 billion, driven by increased costs despite some reductions in total operating expenses, and other costs surged significantly compared to 2024. CEO Allan Kilavuka expressed optimism about the airline's recovery, noting that one grounded aircraft returned to service in July with plans to restore the full fleet by next year, alongside ongoing cost optimization and strategic capital raising. The airline's financial struggles reflect ongoing challenges from past expansion debts, currency fluctuations, and pandemic impacts, although industry forecasts suggest global passenger traffic growth of 5.8% in 2025, supporting a cautious recovery outlook. Kenya Airways continues to focus on operational stability and efficiency to sustain growth amid these challenges.