Kenya Airways(KQ) has recorded a 58.2 per cent loss before tax to Kes38.2 billion for the full year ending December 31 2022 compared to Kes16billion posted in a similar period in 2021.

The National carrier attributed the loss to high fuel costs and the depreciation of the local currency.

In a statement, KQ noted that with an increase of fuel cost by 160% in 2022 and the financing costs referred to the impact of the devaluation of the Kenya Shilling against major world currencies, the airline would have achieved a break-even profit before tax and reported a profit of Kes13 billion at the operating level.

“This means that the airline is a viable business and that the initiatives put in place by Management are bearing fruit,” the Airline said.

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However, compared to the pre-pandemic period, the group's total revenue increased by 6%, or 66 per cent, to Kes117 billion.

The national carrier added that during the period, it carried 3.7 million passengers, up 68 per cent from the previous year.

Also, the volume of cargo increased by 3.5 per cent to 69,955 tonnes.

“ICAO forecasts that air passenger demand in 2023 will rapidly recover to prepandemic levels on most routes by the first quarter and that growth of 3% on estimate on 2019 figures will be achieved by year end,” it added.

Further, KQ noted that airlines are expected to return to operating profitability in the last quarter of 2023, following three consecutive years of losses.

“The results of the restructuring plan as well as the transformation initiatives undertaken by the management and staff of Kenya Airways are bearing fruit,” it stated.