Kenya Airways: Middle East conflict sends fuel costs soaring 72%
Kenya Airways says the conflict in the Middle East has driven its fuel costs up by 72% this year, while disruptions to aircraft parts and maintenance are further squeezing the African airline’s finances. . . .
Kenya Airways says the conflict in the Middle East has driven its fuel costs up by 72% this year, while disruptions to aircraft parts and maintenance are further squeezing the African airline’s finances. Acting CEO George Kamal said Wednesday that fuel now accounts for as much as half of the airline’s total costs, highlighting the impact of the conflict on carriers operating between Africa and international markets,Reutersreported. “We have been heavily impacted by the war with the fuel prices rising by 72% in the current half year,” Kamal told journalists inNairobi. RECOMMENDED STORIESIranian FM: 40-day war shattered illusion of US-provided securityIran rejects UAE’s missile claim, warns of ‘false-flag operations’Jordanian king visits China amid ongoing Middle East conflictWhat did Kushner hear from Hamas as Trump pushes his Gaza roadmapKenya Airways is scheduled to release its 2026 half-year results early next week. The airline warned that higher fuel prices, aircraft shortages, delayed spare-parts deliveries and rising global inflation are likely to weigh on its revenue. The carrier, one of Africa’s largest airlines, operates a relatively small fleet of about 40 aircraft, making supply disruptions particularly difficult to absorb. Kamal said the airline was facing delays in receiving aircraft components and reduced aircraft availability as manufacturers and suppliers struggle with a global backlog. “We have demand, every route we deploy . . . it’s full so we need the aircraft as soon as possible,” he said. Kenya Airways is waiting for two Boeing 737 aircraft to be delivered. Two other planes that had been scheduled to arrive in April were rejected after failing inspection tests, according to Kamal. The shortage is creating an unusual problem for the airline: strong passenger demand but insufficient aircraft capacity to fully take advantage of it. The Middle East conflict has also increased pressure on airlines globally by contributing to higher fuel prices and disrupting aviation supply chains. For Kenya Airways, the additional costs come as the company continues efforts to improve its financial performance. The airline reported a pretax loss of 17. 93 billion Kenyan shillings ($138. 6 million) last year after lower revenue ended a brief return to profitability. Kamal said management was now reviewing the airline’s contracts and looking for ways to reduce expenses. “We are reviewing every single contract at KQ and finding how to save every dollar because our profit per seat is just $1. 50 and we have to save every dollar we make,” he said. The figures underline the narrow margins facing airlines as fuel prices, maintenance expenses and aircraft shortages combine to raise operating costs. With demand remaining strong but aircraft availability constrained, Kenya Airways will be under pressure to secure additional planes while controlling costs as it navigates the impact of the regional conflict. News. AzBy Aysel Mammadzada