K.K KQ Turnaround Plan successful.

Denis Young

Denis Young

Elder Lister
The naysayers failed to make a note of this important update because it doesn't fit their narrative.

Just because progress is not taking place as quickly as you want it, doesn't mean it is not happening.

 
Okiya said:
The company made a profit mainly because of foreign exchange gains on its dollar denominated loans. Explain how this is a turnaround strategy.
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Saw this on X from Mwango Capital
 
Okiya said:
The company made a profit mainly because of foreign exchange gains on its dollar denominated loans. Explain how this is a turnaround strategy.
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Nothing about the 4% customer growth, the 25% growth in cargo volume. Nothing about the fleet rationalization, which is part and parcel of why the operation cost are down massively. Those leases that Irungu Nyakera failed to have removed because they were obviously blessed by his bosses.

Now KQ is operating leaner. Even the FX savings are a KK achievement. Ama the Chinese are still on holiday?
 
Denis Young said:
The naysayers failed to make a note of this important update because it doesn't fit their narrative.

Just because progress is not taking place as quickly as you want it, doesn't mean it is not happening.

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Hii haiwezi nasa mama mboga na watu ya bodaboda.
 
Denis Young said:
Nothing about the 4% customer growth, the 25% growth in cargo volume. Nothing about the fleet rationalization, which is part and parcel of why the operation cost are down massively. Those leases that Irungu Nyakera failed to have removed because they were obviously blessed by his bosses.

Now KQ is operating leaner. Even the FX savings are a KK achievement. Ama the Chinese are still on holiday?
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Bottom line the company made profits because of FX gains which is not it's principal activity. Do you want to discuss it's balance sheet?
 
Okiya said:
Bottom line the company made profits because of FX gains which is not it's principal activity. Do you want to discuss it's balance sheet?
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FX gains? Wait. Do you actually think KQ made profits because of dollar appreciation in a period when the dollar went from 160 to 129? A decline?
 
Denis Young said:
FX gains? Wait. Do you actually think KQ made profits because of dollar appreciation in a period when the dollar went from 160 to 129? A decline?
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You're clueless. KQ has net financial liabilities so the dollar falling means they make FX gains.
 
Denis Young said:
You said FX gains are not a principal activity. I am asking is it even activity? KQ benefited from KK's efforts in strengthening the shilling. It is as simple as that.
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Yes FX is a principal activity to some companies but not KQ. Have you now understood how they made profits when the dollar went down?
 
Okiya said:
Yes FX is a principal activity to some companies but not KQ. Have you now understood how they made profits when the dollar went down?
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Hahaha...Man. This pill is so hard for you to swallow. The FX costs were a massive burden on KQ. With the savings on a stronger shilling (thanks to KK), that meant there was less eating into their profits.

Now that there are plans to lease bigger planes and retire their older smaller crafts, grow their cargo division and improve their terminals, what will you say when they deliver record profits for this current year?

Let's not also forget that Kenya Pipeline and Kenya Power have delivered impressive profits after being loss making entities for a while now.
 
Denis Young said:
Hahaha...Man. This pill is so hard for you to swallow. The FX costs were a massive burden on KQ. With the savings on a stronger shilling (thanks to KK), that meant there was less eating into their profits.

Now that there are plans to lease bigger planes and retire their older smaller crafts, grow their cargo division and improve their terminals, what will you say when they deliver record profits for this current year?

Let's not also forget that Kenya Pipeline and Kenya Power have delivered impressive profits after being loss making entities for a while now.
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You'll need to familiarise yourself with understanding in-depth financials rather than running away with headlines.

Business journalist are all acknowledging it's FX driven


IMG_20250327_220555.webp
 
Okiya said:
You'll need to familiarise yourself with understanding in-depth financials rather than running away with headlines.

Business journalist are all acknowledging it's FX driven


View attachment 104785
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You are just circling the post at this point. The FX driven savings are a direct consequence of government economic management. That is how critical fixing that Eurobond was.

It was just recently you were whining how the debt has increased when shilling shot to 160.

Did you temper that with a thoughtful response when the shilling dropped to 129?

No!

You were telling us that Ruto should take it back to where Uhuru left it. Where the shilling was being sustained with our FX reserves to the point they were so drained we had fuel shortages.

Just by the strength of the shilling alone it has helped cure some reckless dollar denominated borrowing that took place in yesteryears. That said, companies like KQ should take advantage of the positive prevailing conditions to offload some of this toxic debt so they can maintain the positive growth.
 
Denis Young said:
You are just circling the post at this point. The FX driven savings are a direct consequence of government economic management. That is how critical fixing that Eurobond was.

It was just recently you were whining how the debt has increased when shilling shot to 160.

Did you temper that with a thoughtful response when the shilling dropped to 129?

No!

You were telling us that Ruto should take it back to where Uhuru left it. Where the shilling was being sustained with our FX reserves to the point they were so drained we had fuel shortages.

Just by the strength of the shilling alone it has helped cure some reckless dollar denominated borrowing that took place in yesteryears. That said, companies like KQ should take advantage of the positive prevailing conditions to offload some of this toxic debt so they can maintain the positive growth.
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Hahaha. Blaming Uhuru for fixing the shilling with FX reserves but clueless to know the true reason why the shilling has been constant at 129 for several months.
 
Okiya said:
Hahaha. Blaming Uhuru for fixing the shilling with FX reserves but clueless to know the true reason why the shilling has been constant at 129 for several months.
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Tell us how the shilling has been stable at 129 shillings, with ever increasing reserves, and a reducing budget deficit.

What was this difficult thing Uhuru couldn't do that he had to borrow his way out of, but consequently managed to dig a bigger hole to the point we ended up in IMF receivership?
 
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