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Kenya Airways expects its full-year 2020 revenues to drop by between 60 billion shillings ($555.30 million) and 70 billion shillings, higher than its previous estimate.
First-half pre-tax losses were 14.36 billion shillings ($133 million) as COVID-19 suspended travel and slashed revenues, the airline said. This compares to an 8.56 billion-shilling loss in the same period last year.
The airline said there were more challenges ahead, as air travel demand for the rest of 2020 is expected to be less than half of 2019’s levels.
“In terms of projected revenue for up to the end of the year, we see that we will have a decline of about between 60 and 70 billion shillings, probably more, depending on how the uptake in demand is,” chief executive Allan Kilavuka told an online briefing.
In June, the airline projected an annual revenue loss of between $400 and $500 million.
Kenya Airways, in which Air France KLM holds a small stake, said first-half revenue plummeted 48% to 30.21 billion shillings.
Passenger numbers plunged 56% to 1.1 million. Passenger numbers were not expected to return to 2019 levels until 2024, said chairman Michael Joseph.