Closing Bell: Kenya Airways Is NSE Top Loser After Results Announcement
Kenya Airways Limited (KQ) was the top loser at the Nairobi Securities Exchange (NSE) based on its closing price . It shed 15.34% to KES 8.00 from yesterday's close of KES 9.45. This was after it announced an after tax loss of KES 10.50 billion in the six months to 30th, September this year. A negative swing from the KES 384 million profit declared in the same period last year.
The air carrier has faced challenges in 2014. Attacks in Mpeketoni, Lamu County caused the United Kingdom, the USA and other countries to announce travel advisories to Kenya. Moreover, the Ebola outbreak in West Africa resulted in reduced tourist visitors to East Africa. Furthermore, the state banned all flights from Liberia,Sierra Leone and Guinea from landing in Kenya. All these factors depressed the passenger numbers for Kenya Airways.
Reduced passengers translates to reduced revenue. This coming at a time KQ is facing increased finance costs on account of its acquisition of the new Dreamliner planes. Reduced revenue + Increased costs = Losses.
KQ's share price has been on the decline for the last 12 months as seen below
The winners:
The top gainers were: Uchumi Supermarkets Limited (UCHM), Eaagads Limited (EGAD), Mumias Sugar Company Limited (MSC), BOC Kenya Limited (BOC), and Total Kenya Limited (TOTL). They closed at KES 8.90, 41.45, 1.50, 150.00 and 26.00 respectively.
The losers:
The other counters that shed the most value were: Flame Tree Group Holdings Limited (FTGH), Kenya Orchards Limited (ORCH), Express Kenya Limited (XPRS), and The Co-operative Bank Of Kenya Limited (COOP). They ended the day at KES 8.75, 125.00, 6.00 and 19.05 respectively.
Market snapshot
As at 3.10 pm today.
Most shares traded:
Safaricom Limited (SCOM), Mumias Sugar, Uchumi, The Kenya Power And Lighting Company (KPLC), and Kenya Commercial Bank Limited (KCB). Over 6.7 million Safaricom shares changed hands today representing 26.3% of all shares traded.
Indices
The NSE 20 share index depreciated today, it lost 0.29% to 5123.45. While NSE All Share Index (NASI) gained 0.49% to 162.63.
