PASSENGER NUMBERS AND LOAD FACTORS ARE UP WITH AFRICAN MARKETS DOING BEST
(Posted 05th August 2016)
Kenya Airways earlier today released its results for the first quarter of the current financial year and key indicators are showing an upward trend, as was predicted when commenting on the recently published full FY 2015/16 results.
Significant operating improvements
- Passenger numbers in West Africa and Central Africa increase by 28% and 20% respectively
- Total passenger numbers increased by 0.6%
- Cabin load factor up 66.3%
- Traffic uptake in Europe marginally impacted despite reduced capacity with the withdrawal of the B777
During the period the airline revised its network to improve connectivity through its hub Nairobi and more so intensified its presence in Africa.
This saw capacity deployed within Africa increase by 15% in line with the company’s focus on African markets. This was achieved through increased frequencies to some African destinations and the upgrade from B737s to B787s and from Embraer E190 to B737s on certain African routes.
In line with the company’s strategy to improve fleet utilisation, capacity deployed into the Middle East and India was rationalised from the wide bodied B777s to B787s and narrow bodied B737s resulting in a 28 % drop compared to the same period last year. Far East region was at par to prior year.
Capacity on Europe reduced by 17 % with the replacement of the B777s with the more fuel efficient B787s and change of operations on the London route.
Traffic measured in Revenue Passenger Kilometres (RPKs) stood at 2,332million which was at par with the same period the prior year.
The African market compared positively with prior year with Western Africa reporting the highest increase at 15 % due to resumption of flights after the Ebola epidemic, coupled with the reintroduction of flights into Bangui. Further the increase in frequency in Djibouti via Addis Ababa represented an increase of 9 % in the Northern African region.
The total passengers uplifted at 894,240 showed a growth of 0.6 % compared to the same period last year. Africa continued to perform strongly.
Passenger numbers in West Africa increased by 28 % to 85,079, while in Central Africa and North Africa there was an increase of 20 %, 44,887 and 2 %, 48,628 respectively due to higher frequencies and capacity year on year.
During the period the airline’s cabin factor improved from 65.2 % to 66.3 %.
The airline continues to implement its turnaround strategy Operation Pride whose main objectives are closing the profitability gap, refocusing the business model as well as optimising the capital of the company.
Kenya Airways also revised its network to improve connectivity and ability to sell flights to more destinations within the network to improve connectivity and ability to sell flights to more destinations within the network, while intensifying its presence in Africa.
This effective utilisation of available fleet saw the Europe market achieve a cabin factor of 77% representing a 12 percentage point improvement over the prior period with India region’s cabin factor growing by 18 percentage point’s year on year.