Kenya Airways FY 2014 loss of 4.8bn!!! - Page 10 - Stocks - Wazua

Welcome Guest

Wazua » Investor » Stocks » Kenya Airways FY 2014 loss of 4.8bn!!!

Kenya Airways FY 2014 loss of 4.8bn!!!

Options

Previous Topic · Next Topic

target1360		#91 Posted : Monday, June 30, 2014 7:54:49 PM
Rank: Member Joined: 5/14/2014 Posts: 289 Location: nairobi		mulla wrote: hii nitawachia watoto wangu...... maybe your kids will be better off without the stress from kq.. I find satisfaction in owning great business,not trading them
Back to top		\|
User Profile

mibbz		#92 Posted : Monday, June 30, 2014 9:14:59 PM
Rank: Member Joined: 2/18/2011 Posts: 448		VituVingiSana wrote: mibbz wrote: guru267 wrote: aemathenge wrote: http://www.businessdailyafrica.com/Citigroup-sees-KQ-s-valuation-at-bourse-rising/-/539552/2365864/-/i2lwsgz/-/index.html Quote: Citigroup Global Markets, the investment banking arm of international financial giant Citigroup, said the share price had an upward potential of 41 per cent which would be driven largely by cost cutting. “Management expects financial year 2015 to be a better year due to the cost savings and product enhancement of six B787s and two B777-300ERs being delivered,” said Citigroup Global Markets in a report dated June 25. The analysts put the share price, at Sh15.50, with sentiment informing the direction of swings. The share closed last week at Sh11. The valuation is based on a price to earnings ratio of 10, the historical one-year forward average for European flag carrier airlines which are comparable to Kenya Airways. Citi is a shareholder who entered at 14bob rights issue so this is just pump and dump! @guru267 am with you in this,classical pump and dump. Hmmm, perhaps @mibbz needs to look at some posts by @guru267 in regards to HAFR, Olympia, etc which seem to be, if not border on, attempts at pump and dump! @vvs I was here reading her attempts to spruce Olympia which succeeded in creating demand for a laggard as such.I believe she has a huge risk appetite thus the HAFR move.Plus it takes one to know another,thus the reason she saw through citi
Back to top		\|
User Profile

mibbz		#93 Posted : Monday, June 30, 2014 9:17:25 PM
Rank: Member Joined: 2/18/2011 Posts: 448		VituVingiSana wrote: Aguytrying wrote: the scary part is the major kq shareholder can stomach declining share price, bail out and bankruptcy. without stress. can you? Well, the largest shareholder in KQ is YOU ... the Taxpayer. And the mandarins in GoK are happy to use YOUR money to bail KQ out. Very wise words VVS,as I am paying for KQs survival indirectly via tax I don't see the need to further invest scarce resource in this venture.
Back to top		\|
User Profile

Akenyan2014		#94 Posted : Tuesday, July 01, 2014 9:34:38 AM
Rank: Member Joined: 5/6/2014 Posts: 268 Location: Nairobi, Kenya		@Nibbs, Soon KQ will be paying for your survival via tax :) http://www.businessdaily...2/-/14xlm83/-/index.html
Back to top		\|
User Profile

sparkly		#95 Posted : Tuesday, July 01, 2014 9:35:29 AM
Rank: Elder Joined: 9/23/2009 Posts: 8,083 Location: Enk are Nyirobi		Blood in the sky. Time to buy if you always wanted an airline in your portifolio. Life is short. Live passionately.
Back to top		\|
User Profile

Akenyan2014		#96 Posted : Tuesday, July 01, 2014 11:21:35 AM
Rank: Member Joined: 5/6/2014 Posts: 268 Location: Nairobi, Kenya		sparkly wrote: Blood in the sky. Time to buy if you always wanted an airline in your portifolio. @Sparkly, Sure there has to be blood in the sky for investors to make money. I quote your signature "The opposite of bravery is not cowardice but conformity"
Back to top		\|
User Profile

mibbz		#97 Posted : Tuesday, July 01, 2014 11:53:08 AM
Rank: Member Joined: 2/18/2011 Posts: 448		[quote=Akenyan2014]@Nibbs, Soon KQ will be paying for your survival via tax :) http://www.businessdaily.../-/14xlm83/-/index.html[/quote] We both know if they pay the tax,financing costs go up and they turn to shareholders for more funds;its a vicious cycle that keeps moving tax payers money.
Back to top		\|
User Profile

VituVingiSana		#98 Posted : Tuesday, July 01, 2014 7:39:43 PM
Rank: Chief Joined: 1/3/2007 Posts: 18,346 Location: Nairobi		mibbz wrote: [quote=Akenyan2014]@Nibbs, Soon KQ will be paying for your survival via tax :) http://www.businessdaily.../-/14xlm83/-/index.html[/quote] We both know if they pay the tax,financing costs go up and they turn to shareholders for more funds;its a vicious cycle that keeps moving tax payers money. It's a pity. KQ should have stayed 'smaller' and could have managed to ride through the storms. I worry that lower passenger numbers will devastate them as the interest costs mount for the new planes. New 787s New 777s New E-190s And do you really need 'new' and 'spacious' in many African markets? Will passengers [excluding government, NGOs, freeloaders] pay extra for newer or better planes? Greedy when others are fearful. Very fearful when others are greedy - *to paraphrase Warren Buffett*
Back to top		\|
User Profile

Akenyan2014		#99 Posted : Tuesday, July 01, 2014 9:29:21 PM
Rank: Member Joined: 5/6/2014 Posts: 268 Location: Nairobi, Kenya		I think all those fears are already factored in the current price hammering. It is true the E-190s doesn't look like a good business philosophy, there were better alternatives. But those old 767s had to be replaced at some point, the earlier the better for lower operation costs. 777's capacity addition needed not be delayed either. I agree on the capital intensive options taken could prove tough. The govt. might perhaps be called upon to help eg. with taxation headache (not a guarantee though) but eventually things will look up at some point. For sure the govt. cannot watch it collapse, it cannot be a choice to see a national carrier collapse. I find one big problem is the fuel costs and irreducible wage bill (since a significant portion goes to untouchable key staff such as pilots). The only reservation I have is the fact that of no share ownership by management, perhaps they know recovery could take longer.
Back to top		\|
User Profile

mibbz		#100 Posted : Wednesday, July 02, 2014 12:05:41 AM
Rank: Member Joined: 2/18/2011 Posts: 448		Akenyan2014 wrote: I think all those fears are already factored in the current price hammering. It is true the E-190s doesn't look like a good business philosophy, there were better alternatives. But those old 767s had to be replaced at some point, the earlier the better for lower operation costs. 777's capacity addition needed not be delayed either. I agree on the capital intensive options taken could prove tough. The govt. might perhaps be called upon to help eg. with taxation headache (not a guarantee though) but eventually things will look up at some point. For sure the govt. cannot watch it collapse, it cannot be a choice to see a national carrier collapse. I find one big problem is the fuel costs and irreducible wage bill (since a significant portion goes to untouchable key staff such as pilots). The only reservation I have is the fact that of no share ownership by management, perhaps they know recovery could take longer. South African airways has resorted to the government several times when faced with massive losses.I wonder how much the shareholders are willing to put to sustain KQ. All in all i see a decent hedging profit this year should the situation in Iraq remain status quo and that might just cover most of these negative externalities.
Back to top		\|
User Profile

16 Pages«<89101112>»

Wazua » Investor » Stocks » Kenya Airways FY 2014 loss of 4.8bn!!!

Forum Jump

You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.

Watch this topic
Print this topic

Normal
Threaded