ALL EYES ON KENYA AIRWAYS AS MBUVI NGUNZE PRESENTS HIS LAST ANNUAL RESULTS
(Posted 25th May 2017)
The announcement of the annual results of Kenya Airways’ financial year 2016/17, which ended on the 31st of March, will be outgoing CEO Mbuvi Ngunze’s swansong as he prepares to hand over to his successor just a few days afterwards.
Mbuvi, who was Chief Operating Officer before he took over from Titus Naikuni as CEO three years ago, had inherited a company facing the stark reality of technical insolvency after posting continued losses.
Forensic audits, special audits and a major austerity programme were launched under his stewardship and ‘Operation Pride‘ then unfolded as cost savings began to show results.
However, having to deal with rabid unions unable to see beyond their own noses, incapable to recognize the financial challenges the company was faced with, did several elements of the cost savings programme, namely cuts in staff numbers, not fully materialise.
Mbuvi however did manage to progressively phase out the airline’s Boeing B777 fleet while at the same time also leasing out two of the new Boeing B787 Dreamliners to Oman Air as routes too were rationalised.
Concentrating on its core business, Africa, did Kenya Airways eventually fly out of operational losses but investors and pundits will now have to wait until the morning when the airline will reveal just how far the turnaround has gone.
Details will follow here tomorrow evening only, due to continuing travel across Uganda.
Best wishes to Mbuvi Ngunze on his last major activity as the airline’s CEO and Group Managing Director and fingers crossed that the Pride of Africa will have returned to the financial straight and narrow after years of financial turbulences.
Meanwhile will Sebastian Mikosz officially take over on the 01st of June from Mbuvi, inheriting a long agenda list of further action to return the once very profitable airline from deep red balance sheets to black figures, something he accomplished in particular at the Polish national airline LOT, where he served twice as CEO and initiated major restructuring plans.