This archive report was first published on 18 December 2019.
Published on December 18, 2019, Kenya Airways has issued a profit warning, stating that its earnings for the current financial year are likely to dip by at least 25 percent compared to the same period last year.
The airline's Chairman, Michael Joseph, attributed the decline in profitability to increased competition, which has affected ticket pricing.
Joseph also pointed out that the adoption of the new International Financial Reporting Standard in 2016 has required significant adjustments to the airline's financial statements, further constraining profitability.
According to the airline's financial records, the first half of the year ending August saw a pretax loss of 8.56 billion shillings, a significant increase from the 3.99 billion shillings loss recorded during the same period last year.
