• Kenya Airways returned to loss in 2025, posting an operating deficit of KSh5.6 billion (US$43 million) and a net loss of KSh17.1 billion, driven largely by a 14 percent revenue drop and an 18 percent reduction in available seat capacity.
• Grounded aircraft, particularly multiple Boeing 787 Dreamliners, caused significant operational disruption, with supply chain delays and engine shortages preventing full fleet utilisation.
• Management is phasing aircraft returns ahead of the summer peak, aiming to restore near-full capacity, while stressing that demand remains strong and losses reflect operational constraints rather than weakened market appetite.

Kenya Airways is working to restore grounded aircraft ahead of the mid-year peak after slipping back into loss in 2025.

Full-year results released in late March show the airline moved from profit in 2024 back into the red, with an operating loss of KSh5.6 billion (US$43 million) and a net loss of KSh17.1 billion. The deterioration followed a drop in revenue to KSh161 billion, down 14 percent year on year, as capacity constraints weighed on passenger volumes.

Traffic fell to 4.6 million passengers from 5.2 million the previous year, reflecting an 18 percent reduction in available seat capacity. The shortfall was driven largely by aircraft groundings linked to ongoing supply chain disruption, particularly a shortage of engines.

Widebody constraints were especially acute. Several long-haul aircraft, including multiple Boeing 787 Dreamliner jets, were out of service during the year, limiting the airline’s ability to operate higher-yield intercontinental routes.

Management is now focused on a phased return of those aircraft. Since December, the carrier has reintroduced three jets—two Boeing 737 and one Embraer 190—while several others remain grounded pending engine deliveries or maintenance completion.

Additional engines are expected over the coming months, enabling the gradual return of both regional and long-haul aircraft. The airline aims to enter the peak summer period with most of its fleet back in operation, leaving only a limited number of aircraft unavailable before full capacity is restored later in the year.

Chairman Kiprono Kittony indicated that the weaker financial outcome was primarily a function of operational disruption rather than demand softness, pointing to continued strength in travel appetite. The airline is also looking to capture traffic flows reshaped by geopolitical factors affecting competing hubs.

The recovery timeline will be critical. Airlines generate a disproportionate share of annual earnings during peak travel periods, and any delay in restoring capacity risks locking in further revenue shortfalls. Even with aircraft returning, the carrier faces the challenge of rebuilding passenger volumes and network reliability after a period of reduced operations.

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