Kenya Airways Plc · NSEKE:KQ
Kenya Airways — H1 2021 Earnings Presentation
24 slides from Kenya Airways's earnings presentation, August 2021
Slide 1: HY 2021 Financial Results
HY 2021 Financial Results
Slide 2: Opening Remarks
Opening Remarks Mr. Michael Joseph Chairman
Slide 3: Overview of Aviation in 2021: Global & Africa
Overview of Aviation in 2021: Global & Africa Allan Kilavuka Group Managing Director & Chief Executive Officer
Slide 4: Global Aviation: Effects of the Coronavirus Pandemic
Global Aviation: Effects of the Coronavirus Pandemic Passenger & Freight Traffic 40% 5% -$323B 21.9% Cargo Yield Growth Drop in Gross Revenues Available Seat Kms down Drop in Seat Capacity 2020: 30% 2020: $370B 2020: 56.5% 2020: 60% ICAO (March 2021): Effects of Novel Coronavirus (COVID-19) on Civil
Slide 5: Revenue Passenger Kilometres Trend
Revenue Passenger Kilometres Trend -64.5% Global RPK 2020: -68.8% 2019: +5% Source: IATA Economics Airline Industry Financial Forecast update, April 2021. Data is seasonally adjusted.
Slide 6: Aviation in Africa
Aviation in Africa Impact of COVID 19 on the industry -53.6% $8.35B Available Seat Kms Gross Pax Revenue 2020: -61.0% loss 2019: +02.4% 2020: -$14B 2019: +$885B -59.5% 8 $601M Seat Capacity Drop Airlines Funds blocked Filed for bankruptcy 2020: -58% in African countries 2019: 95M AFRAA Air Transport
Slide 7: Managing the Business in the Pandemic
Managing the Business in the Pandemic Allan Kilavuka Group Managing Director & Chief Executive Officer
Slide 8: Challenges Impacting Performance
Challenges Impacting Performance COVID 19 Crisis Travel Restrictions Low Vaccination rollout in Core Market Percentage of fully vaccinated adults China UK 7 x weekly vs 2 x weekly Red list Apr to Jun 2021 Pax decline: 86% Pax decline: 87% 1.84% Africa India Flight suspensions - May DXB 2020 to Sept
Slide 9: Sports Sponsorship WRC and Rally Star Programme
Sports Sponsorship WRC and Rally Star Programme • Kshs. 35 million In-Kind Sponsorship • WRC Safari Rally: Official Airline Partner • FIA Rally Star : Sponsored 3 Kenyan youth drivers Marketing and Brand Visibility • +848 Million viewers across 150 countries • +85 Million advertising value equivalen
Slide 10: Cargo Operations
Cargo Operations Freight • 1,400 tonnes - Pharmaceuticals, PPE and vaccines into Africa • 360 tonnes - Garments, flowers, and tropical fish to the USA • 6,000 tonnes - Electronic consumer, machinery and fashion goods from Asia to Africa Preighters: Additional capacity on repurposed B787 • +500 tonne
Slide 11: Sustainability Agenda
Sustainability Agenda Sustainability Challenge KQ Plant a Future Program Plastic Reduction in • Innovation Hub: Built using 93% of • KQ 44th Anniversary: Pledge to revive operations obsolete materials. Tree planting program • Engaging suppliers: • Alternative Energy: Cost savings Alternative environ
Slide 12: Fahari Aviation
Fahari Aviation Projects • KWS: Animal Census in Tsavo National Park • KenGen - Olkaria Geothermal Plant: Conducted Environmental Survey, Infrastructure Inspection, Search & Rescue Partnerships • Skyports UK: Explore drone logistics opportunities • Embraer: Advanced Air Mobility • Training: First Re
Slide 13: Operational Highlights
Operational Highlights els =10 pts Cabin Factor (%) CY 58% PY 68% 2019: 75% (-17Pts) Nee (a . 9 -36% -18% Available Seat KMs (Mil’s) Passenger Numbers (Mil’s) CY 2,378 mil CY 0.9 mil PY 3,722 mil PY I.1 mil 2019: 8,002 (-70%) 2019: 2.4 (-63%) we (-70%) 2 (-63%) oe © 33% -13% Cargo Volumes (Tonnes) B
Slide 14: Financial Highlights
Financial Highlights Hellen Mathuka Chief Finance Officer
Slide 15: Turnover Trend
Revenue (Jan –Jun) 70 000 58 550 60 000 50 601 52 193 50 000 40 000 30 214 27 354 Turnover Trend 30 000 20 000 10 000 0 2017 2018 2019 2020 2021 35,000 H1 30,214 30,000 2,690 (6) 27,354 (2,058) (3,486) Amount in Kes Mil 25,000 20,000 15,000 10,000 HY 2020 Passengers Freight & Mail Handling Others HY
Slide 16: Cost Trend
Total cost Ksh Mil (Jan –Jun) 80 000 67 112 56 372 56 186 60 000 44 569 38 896 Cost Trend 40 000 20 000 0 2017 2018 2019 2020 2021 50,000 H1 45,000 44,569 (784) (1,855) 271 40,000 (1,479) (155) 38,896 (1,670) 35,000 Amounts in Kes Mil 30,000 25,000 20,000 15,000 10,000 HY 2020 Fuel & Oil Other DOCs
Slide 17: Profit Trend
Loss Before Tax Kshs Mil (Jan –Jun) 0 2017 2018 2019 2020 2021 -2,000 (3,992) Profit Trend -4,000 (5,771) -6,000 (8,562) -8,000 -10,000 (11,542) -12,000 (14,355) -14,000 -16,000 H1 - (2,000) (4,000) (6,000) (8,000) 1,670 (10,000) 1,479 1,855 (12,000) (116) (2,860) (11,542) 784 (14,000) (14,355) (16,
Slide 18: Summary of Consolidated Income Statement
Summary of Consolidated Income Statement
Slide 19: Summary of Consolidated Statement of Financial Position
Summary of Consolidated Statement of Financial Position
Slide 20: Summary of Consolidated Statement of Cash Flow
Summary of Consolidated statement of Cash flow
Slide 21: Our Focus
Our Focus Allan Kilavuka Group Managing Director & Chief Executive Officer
Slide 22: 2021 Focus
2021 Focus Enhance customer experience People agenda Enhance digital Physical and mental convergence wellness of KQ staff Cost Reduction Grow Revenue Optimise operations Diversification of revenue streams
Slide 23: Q&A
Q&A
Slide 24: Asanteni
Asanteni