NAIROBI, Kenya — Kenya Airways recorded a 9.1 per cent increase in revenue to Sh81.2 billion in the first half of 2026, making it the airline’s second-highest half-year revenue on record despite rising fuel, maintenance and operating costs.
The revenue increased from Sh74.5 billion in the first half of 2025, according to financial results released on Tuesday, August 25, 2026.
However, the growth in income was outweighed by a sharp increase in operating expenses, which rose 13.8 per cent to Sh91.9 billion, up from Sh80.7 billion during the same period last year.
As a result, Kenya Airways’ operating loss widened to Sh10.6 billion, compared with Sh6.2 billion in the first half of 2025.
The airline’s net loss after tax also increased to Sh16.1 billion, from Sh12.2 billion a year earlier.
Fuel costs put pressure on KQ
Fuel was one of the biggest contributors to the increase in operating costs.
Acting Kenya Airways CEO George Kamal said the airline spent approximately Sh29 billion on fuel during the six months.
The expenditure represented about 32 per cent of total operating costs and more than half of the airline’s direct operating costs.
Kamal attributed the increase partly to the conflict involving Iran, which pushed up fuel import prices and forced airlines to reroute some flights, resulting in higher fuel consumption.
The airline also faced increased maintenance costs as it worked to return aircraft to full operational capacity.
“The revenue collected in Half Year 2026 is the second-highest ever for Kenya Airways at KSh81.2 billion. But the year had a significant hike in costs, largely driven by a rise in fuel and maintenance costs,” Kamal said.
Demand remains strong
Despite the widening losses, Kenya Airways said the results showed that demand for its services remained strong.
Kamal said the airline’s main challenge was not attracting passengers but converting demand into profitable growth while restoring its fleet and improving operational efficiency.
“We can turn around planes fast worldwide. Demand for KQ remains. Our challenge remains converting that demand into profitable growth,” he said.
The airline has been affected by aircraft availability challenges, including maintenance requirements and difficulties obtaining components amid wider global supply chain constraints.
Restoring aircraft capacity is therefore a key part of the carrier’s recovery strategy.
KQ targets operational recovery
Kenya Airways Chairman Kiprono Kittony said the airline would focus on restoring full capacity, improving reliability and on-time performance, and strengthening its balance sheet.
“Our responsibility now is to restore the full airline capacity, improve reliability and on-time performance, strengthen the balance sheet, and to put Kenya Airways on a strong path of recovery and growth,” Kittony said.
The carrier is also pursuing a strategic investor to inject fresh equity as it seeks to strengthen its financial position.
Kenya Airways is looking beyond passenger operations for additional revenue, including expanding its cargo business and growing third-party aircraft maintenance services.
