| 12 months to
31 Mar '94 |
12 months to
31 Mar '95 |
6 months to
30 Sept '95 |
|
| Revenue -- details | 11,141.9 | 9,078.3 | 4,774.9 |
| Operating expenditure -- details | 7,421.4 | 5,325.8 | 2,748.4 |
| Sales & marketing expenses | 98.3 | 78.6 | 27.0 |
| Depreciation | 345.3 | 343.7 | 174.9 |
| Administrative expenses -- details | 2,089.2 | 1,687.0 | 919.2 |
| Operating income | 1,187.7 | 1,643.2 | 905.4 |
| Net financial income -- details | -351.5 | -757.6 | 146.2 |
| Extraordinary items | -174.2 | 0 | 0 |
| Earnings before tax and unrealized
exchange rate gain |
662.0 | 885.6 | 1051.6 |
| exchange gain | -705.5 | 654.2 | -332.3 |
| taxation | 0 | 0 | 0 |
| Net earnings | -43.4 | 1539.7 | 719.3 |
The above consolidated income statement was for Kenya Airways and its wholly owned subsidiary, Kenya Airfreight Handling Ltd., through 30 September 1995. This group will be refereed to below simply as Kenya Airways. Kenya Flamingo Airways Ltd., also part of this group, ceased operations in 1993.
The income statement shows the results of a significant turnaround for Kenya Airways. In the fiscal year ending 30 June 1991, Kenya Airways lost KShs. 460 million before taxes and unrealized exchange losses. In the fiscal year ending 30 June 1992, Kenya Airways lost a further KShs. 53 million. New management was appointed in the spring of 1992, and under this new management Kenya Airways turned a profit. The fiscal year was changed to end, in accordance with common international practice, to 30 March, and the accounts show from 30 June 1992 to 30 March 1993 earnings (profits) of KShs. 237 million before taxes and unrealized exchange losses. As the above statement shows, earnings continued to grow during fiscal years 1993/94, 1994/95, and the first half of 1995/96.
The revenue to assets ratio indicates how intensively the company's
assets are being used. Relative to 30 September 1995 assets and revenue
scaled to the full 1995/96 fiscal year, Kenya Airways' revenue to assets
ratio was 1.43. The table below shows the revenue to asset ratios
for selected other airlines for the fiscal year 1995. The (value-weighted)
average revenue to asset ratio for all U.S. manufacturing corporations
in 1995 was 1.09.
| Airline | Revenue/Assets |
| Air France | 0.58 |
| Air Madagascar | 1.34 |
| British Airways | 0.66 |
| Delta AirLines | 1.05 |
| Egyptair | 0.44 |
| Japan Airlines | 0.69 |
| Singapore Airlines | 0.51 |
| Airline | Profit Margin |
| Air France | -2.7% |
| Air Madagascar | 2.1% |
| British Airways | 10.5% |
| Delta AirLines | 6.2% |
| Egyptair | -1.5% |
| Japan Airlines | 3.6% |
| Singapore Airlines | 12.7% |