When the Nairobi Securities Exchange (NSE) closed trading on Wednesday January 15, 2024, Kenya Airways was on top of the pack of gaining stocks. The KQ shares closed trading at Sh. 7.60 per share after gaining by 9.83 per cent. The counter had a volume of just 230,800.
In the previous day’s trading, the KQ shares were at Sh. 6.92 per unit. This has been a remarkable gain for a stock that had been suspended from trading at the local bourse for months. In fact, in just about eight days, the Kenya Airways shares have doubled from the pre-suspension price of Sh. 3.83 per share.
This gain means that shareholders of the national carrier are currently counting gains of up to Sh. 21.4 billion. Since the counter resumed trading on the NSE, investors have traded 3.4 million shares.
The counter may rise even higher should the national carrier record a full year net profit, which will be a progress from the half year recovery to profitability.
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In August 2024, KQ marked the first time since 2013 that it had recorded a profit after tax. For the first half of the financial year ending June 30, 2024, the airline achieved a profit after tax of Sh. 513 million, from the Sh. 21.7 billion loss reported in the similar previous period.
In that period, Kenya Airways experienced a 10 per cent increase in passenger numbers, totaling 2.54 million. The airline’s total revenue grew by 22 per cent to Sh. 91 billion, driven by higher passenger numbers.
The airline attributed this turn to its strategic turnaround plan, Project Kifaru. “Our financial results are a clear indication that our strategic initiatives are delivering the desired outcomes. We have focused on strengthening our core operations, enhancing our customer service, and exploring new avenues for growth. This performance positions us in good stead to navigate the challenges of the aviation industry and prepare for future growth,” said KQ chief executive officer Allan Kilavuka.
