Wazua
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Kenya Airways...why ignore..
Rank: Veteran Joined: 8/28/2015 Posts: 1,247
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Spikes wrote:obiero wrote:maka wrote:obiero wrote:VituVingiSana wrote:From Genghis/Business Daily:
"The national carrier had by March last year put in place hedging contracts for 79 per cent of its anticipated fuel requirements up to March 31, 2016 and 40 per cent of requirements to March 2017, when the fuel hedge contracts."
“Therefore, we anticipate that the company will still report losses on their fuel derivatives at the end of this financial year 2016, due to the falling oil prices. After the expiry of the contracts, the airline is expected to position itself to benefit from the falling oil prices,” said the Genghis analysts. Old news. No one sane person expects a profit by March 2016.. 18 months.... 18 months from July 2015, implying Q3 2016-2017 not 18 months . 4years by 2020...We have enough time to accumulate. Too obvious for anyone, even wanjiku knows it.And the CEOS will have been roasted by the pilots beyond recognition. You can not touch this. At a net profit of 10 bs, 33/10 approximates to four years of not turn around but solid profitable years to recover from losses. So add 2 years of turnaround and one year of restructuring and get seven years before celebration mood kicks in. Those who enjoyed a successful morning glory today will be counting the sixth birthday for their bouncing baby. Utaweka maji kwa glass ndio upate chums za maternity, pampers, day care all the way to class one.  ,Behold, a sower went forth to sow;....
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Rank: Hello Joined: 2/2/2016 Posts: 3
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I'm new to the forum, but I want to give my two cents.
People blame the company for hedging fuel, but it was the most strategic thing to do at that time. Its a risk to the company but it gives them stability when the prices kept shooting up. American Airlines went bankrupt when the fuel prices went up, did people blame them for not hedging? Delta still hedges and declares profits. What the management is to blame for is their lack of research and what made them make the decision to hedge for such a long period. What type of analysis did they do to come to that decision.
The airline went into project mawingu without a plan. What happened to opening 3 destinations every year? They just brought in planes to replace their so called aging fleet. Does anyone here know how old those 777s were that they claimed were old. Please go to any airlines website and download their financial results, and look at their fleet information. AirFrance retired their 747 fleet after 40yrs of service.
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Rank: Veteran Joined: 4/16/2014 Posts: 1,420 Location: Bohemian Grove
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Spikes wrote:obiero wrote:maka wrote:obiero wrote:VituVingiSana wrote:From Genghis/Business Daily:
"The national carrier had by March last year put in place hedging contracts for 79 per cent of its anticipated fuel requirements up to March 31, 2016 and 40 per cent of requirements to March 2017, when the fuel hedge contracts."
“Therefore, we anticipate that the company will still report losses on their fuel derivatives at the end of this financial year 2016, due to the falling oil prices. After the expiry of the contracts, the airline is expected to position itself to benefit from the falling oil prices,” said the Genghis analysts. Old news. No one sane person expects a profit by March 2016.. 18 months.... 18 months from July 2015, implying Q3 2016-2017 not 18 months . 4years by 2020...We have enough time to accumulate. actually you have until 2026 to accumulate assuming it starts printing 3 billion net every year from now. good luck!
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Rank: Chief Joined: 1/3/2007 Posts: 18,298 Location: Nairobi
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obiero wrote:VituVingiSana wrote:From Genghis/Business Daily:
"The national carrier had by March last year put in place hedging contracts for 79 per cent of its anticipated fuel requirements up to March 31, 2016 and 40 per cent of requirements to March 2017, when the fuel hedge contracts."
“Therefore, we anticipate that the company will still report losses on their fuel derivatives at the end of this financial year 2016, due to the falling oil prices. After the expiry of the contracts, the airline is expected to position itself to benefit from the falling oil prices,” said the Genghis analysts. Old news. No one sane person expects a profit by March 2016.. Enjoy. Meanwhile, some 'new' news... I expect a profit to be announced for KK for 2015. And the word on the street is that KK is making hay while the oil prices remain low. [Lower financing costs]. *Please fill up at KK. KQ to pay cash. Thank you. Come Again.* *Please reinsure with KenRe. Thank you. Pay Again* Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Chief Joined: 1/3/2007 Posts: 18,298 Location: Nairobi
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This article applies to KQ. Project Mawingu was too ambitious or simply an avenue for corruption. http://www.businessdaily.../-/12jrqb0z/-/index.htmlGreedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Elder Joined: 2/26/2012 Posts: 15,980
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littledove wrote:maka wrote:http://www.standardmedia.co.ke/ktnhome/video/watch/2000103018/business-today-29th-january-2016-kq-faces-turbulent-financing-times
This is the guy who should be CEO... They have hedged up to september 2016, and they are unlikely to stop hedging!! surely they are not ready to learn or what now This is the time to hedge and lock in these low prices. They should opt to go for it when the market hits a new low, and hedge atleast 50% of it. I dont see the prices remaining down there for a long time. Hedging is a financial strategy. How you apply it is what matters, note KQ at one time saved up alot of $$ from hedging. The most profitable airline (south west) has always hedged and when oil hit $110 they were still buying at $50 "There are only two emotions in the market, hope & fear. The problem is you hope when you should fear & fear when you should hope: - Jesse Livermore
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Rank: Chief Joined: 1/13/2011 Posts: 5,964
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Mmm...what would @vvs do in this case when his chances came & went? Oh! Oh! I know!! I know!! witch hunt! Loser... Brush up on business cycles while you're at it and MYOB. Buffett this, Buffett that. KQ this, KQ that - argh. Ptho! ExxonMobil reports 58% drop in profit Quote:As with other petroleum companies, ExxonMobil saw a massive decline in income from exploration and production of crude oil, known as "upstream" in oil parlance. Earnings in this area fell to just $857 million from $4.6 billion in the year-ago period. http://www.news24.co.ke/...drop-in-profit-20160202
KQ is the best play in the market and you know it!
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Rank: Elder Joined: 6/23/2009 Posts: 14,071 Location: nairobi
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Cde Monomotapa wrote:Mmm...what would @vvs do in this case when his chances came & went? Oh! Oh! I know!! I know!! witch hunt! Loser... Brush up on business cycles while you're at it and MYOB. Buffett this, Buffett that. KQ this, KQ that - argh. Ptho! ExxonMobil reports 58% drop in profit Quote:As with other petroleum companies, ExxonMobil saw a massive decline in income from exploration and production of crude oil, known as "upstream" in oil parlance. Earnings in this area fell to just $857 million from $4.6 billion in the year-ago period. http://www.news24.co.ke/...drop-in-profit-20160202
KQ is the best play in the market and you know it! BP has also taken a major knock.. This oil thing isnt going too well.. @wazuans better know KK is a shaky investment going by current market situation
KQ ABP 4.26
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Rank: Elder Joined: 12/25/2014 Posts: 2,301 Location: kenya
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obiero wrote:Cde Monomotapa wrote:Mmm...what would @vvs do in this case when his chances came & went? Oh! Oh! I know!! I know!! witch hunt! Loser... Brush up on business cycles while you're at it and MYOB. Buffett this, Buffett that. KQ this, KQ that - argh. Ptho! ExxonMobil reports 58% drop in profit Quote:As with other petroleum companies, ExxonMobil saw a massive decline in income from exploration and production of crude oil, known as "upstream" in oil parlance. Earnings in this area fell to just $857 million from $4.6 billion in the year-ago period. http://www.news24.co.ke/...drop-in-profit-20160202
KQ is the best play in the market and you know it! BP has also taken a major knock.. This oil thing isnt going too well.. @wazuans better know KK is a shaky investment going by current market situation I thought we were told tukunywe mafuta kk gas station and on our way home we get an insurance with Ke-re .why confuse us 
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Rank: Chief Joined: 1/13/2011 Posts: 5,964
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obiero wrote:Cde Monomotapa wrote:Mmm...what would @vvs do in this case when his chances came & went? Oh! Oh! I know!! I know!! witch hunt! Loser... Brush up on business cycles while you're at it and MYOB. Buffett this, Buffett that. KQ this, KQ that - argh. Ptho! ExxonMobil reports 58% drop in profit Quote:As with other petroleum companies, ExxonMobil saw a massive decline in income from exploration and production of crude oil, known as "upstream" in oil parlance. Earnings in this area fell to just $857 million from $4.6 billion in the year-ago period. http://www.news24.co.ke/...drop-in-profit-20160202
KQ is the best play in the market and you know it! BP has also taken a major knock.. This oil thing isnt going too well.. @wazuans better know KK is a shaky investment going by current market situation You've been following. Good. Your technical handling of KQ needs to improve. My assessment is little effort put ndugu! [S/o @evak! Great handling & tutoring. Nice rejoinder on the dent/stabilizer issue, ouch to that fella..] All the best Obiero and I hope your rotation from Coop FY to KQ will be timely and profitable ;-) Major de-risking is underway.
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Rank: Chief Joined: 1/3/2007 Posts: 18,298 Location: Nairobi
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murchr wrote:littledove wrote:maka wrote:http://www.standardmedia.co.ke/ktnhome/video/watch/2000103018/business-today-29th-january-2016-kq-faces-turbulent-financing-times
This is the guy who should be CEO... They have hedged up to september 2016, and they are unlikely to stop hedging!! surely they are not ready to learn or what now This is the time to hedge and lock in these low prices. They should opt to go for it when the market hits a new low, and hedge atleast 50% of it. I dont see the prices remaining down there for a long time. Hedging is a financial strategy. How you apply it is what matters, note KQ at one time saved up alot of $$ from hedging. The most profitable airline (south west) has always hedged and when oil hit $110 they were still buying at $50 The 'problem' KQ may face is finding hedges that are attractively priced. It's easy to say let's hedge at $30 but these are not free. There's a cost/premium the seller (counter-party) of the hedge wants that makes it worth entering into the hedge. Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Chief Joined: 1/3/2007 Posts: 18,298 Location: Nairobi
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Cde Monomotapa wrote:Mmm...what would @vvs do in this case when his chances came & went? Oh! Oh! I know!! I know!! witch hunt! Loser... Brush up on business cycles while you're at it and MYOB. Buffett this, Buffett that. KQ this, KQ that - argh. Ptho! ExxonMobil reports 58% drop in profit Quote:As with other petroleum companies, ExxonMobil saw a massive decline in income from exploration and production of crude oil, known as "upstream" in oil parlance. Earnings in this area fell to just $857 million from $4.6 billion in the year-ago period. http://www.news24.co.ke/...drop-in-profit-20160202
KQ is the best play in the market and you know it! Yawn.  *Please fill up at KK. Thank You. Come Again.* Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Chief Joined: 1/3/2007 Posts: 18,298 Location: Nairobi
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obiero wrote:Cde Monomotapa wrote:Mmm...what would @vvs do in this case when his chances came & went? Oh! Oh! I know!! I know!! witch hunt! Loser... Brush up on business cycles while you're at it and MYOB. Buffett this, Buffett that. KQ this, KQ that - argh. Ptho! ExxonMobil reports 58% drop in profit Quote:As with other petroleum companies, ExxonMobil saw a massive decline in income from exploration and production of crude oil, known as "upstream" in oil parlance. Earnings in this area fell to just $857 million from $4.6 billion in the year-ago period. http://www.news24.co.ke/...drop-in-profit-20160202
KQ is the best play in the market and you know it! BP has also taken a major knock.. This oil thing isnt going too well.. @wazuans better know KK is a shaky investment going by current market situation Profit Announcement coming up for FY 2015.  And another profit announcement has been lined up for 1H 2016  and we are just one month into 2016. Let the good times roll for KK. @wazuans better know KK is a shaky investment going by current market situation @Obiero - We need to place bets. @Wazuans - What do you propose? *Please fill up at KK. KQ to pay cash. Thank you. Come Again.* Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Chief Joined: 1/13/2011 Posts: 5,964
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Apart from the fact that your views on KQ ceased to matter, I'll tell you again. You're better off in the NGO world, unfortunately, you'll have to raise your volume higher now.
Kenya-Dutch partnership to migrate from aid http://www.cnbcafrica.co...-ditch-partnership-aid/
Major changes have occurred at management level and you're still at it. The FD is gone. What next, huh? Thus, my conclusion is even if God run this company you still wouldn't have the guts to buy it. KK is no longer in the Jet A1 business so come off it. MYOB.
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Rank: Chief Joined: 1/3/2007 Posts: 18,298 Location: Nairobi
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Cde Monomotapa wrote:Apart from the fact that your views on KQ ceased to matter, I'll tell you again. You're better off in the NGO world, unfortunately, you'll have to raise your volume higher now.
Kenya-Dutch partnership to migrate from aid http://www.cnbcafrica.co...-ditch-partnership-aid/
Major changes have occurred at management level and you're still at it. The FD is gone. What next, huh? Thus, my conclusion is even if God run this company you still wouldn't have the guts to buy it. KK is no longer in the Jet A1 business so come off it. MYOB. @Mono - Thank you for your kind words. Please do patronize KenolKobil for all your fueling needs and we: - provide competitive pricing [unlike an airline which must not be named] - are in the black [your money on a K-Card is safe unlike an airline with negative equity who might fold up after you pay in advance for a ticket] http://www.kenolkobil.co...ness-segments/fuel-card and just for you have an excellent tie-up with DTB http://www.kenolkobil.co...uel-management-solution
- are a Kenyan company [unlike an airline that KLM, IFC, banks own] - profitable [KK made only KES 1.35bn PBT in 1H. know it's hard for KK to compete with a wonderful airline that lost only KES 12 billion in 6 months. How do we top that? Should we hire McKinsey? Or Seabury? Your advice will be appreciated.] - have loyal customers despite our faults [Any advice on how we can keep them away because they just keep returning.] - have paid dividends for FY 2014 and will for FY 2015 [unlike you know who. Are we mistaken in paying dividends?] - pay taxes [How can we reverse this like an unnamed airline did? The smart folks not only didn't pay income taxes, they got themselves a bailout!] We are still in the Jet A1 supply business. Of course, that airline has to pay in advance. Credit is only given to those worthy. The unnamed airline is worthy. We plan on extending credit to it. Tomorrow. Tomorrow Never Comes. http://www.kenolkobil.co...x.php/business-segments
If there is anything we can make your visit to our locations more pleasant, please let us know how. We want to serve all our paying customers with the best we can offer. *Please fill up at KK. KQ to pay cash. Thank you. Come Again.* Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: Chief Joined: 1/13/2011 Posts: 5,964
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VituVingiSana wrote:Cde Monomotapa wrote:Apart from the fact that your views on KQ ceased to matter, I'll tell you again. You're better off in the NGO world, unfortunately, you'll have to raise your volume higher now.
Kenya-Dutch partnership to migrate from aid http://www.cnbcafrica.co...-ditch-partnership-aid/
Major changes have occurred at management level and you're still at it. The FD is gone. What next, huh? Thus, my conclusion is even if God run this company you still wouldn't have the guts to buy it. KK is no longer in the Jet A1 business so come off it. MYOB. @Mono - Thank you for your kind words. Please do patronize KenolKobil for all your fueling needs and we: - provide competitive pricing [unlike an airline which must not be named] - are in the black [your money on a K-Card is safe unlike an airline with negative equity who might fold up after you pay in advance for a ticket] http://www.kenolkobil.co...ness-segments/fuel-card and just for you have an excellent tie-up with DTB http://www.kenolkobil.co...uel-management-solution
- are a Kenyan company [unlike an airline that KLM, IFC, banks own] - profitable [KK made only KES 1.35bn PBT in 1H. know it's hard for KK to compete with a wonderful airline that lost only KES 12 billion in 6 months. How do we top that? Should we hire McKinsey? Or Seabury? Your advice will be appreciated.] - have loyal customers despite our faults [Any advice on how we can keep them away because they just keep returning.] - have paid dividends for FY 2014 and will for FY 2015 [unlike you know who. Are we mistaken in paying dividends?] - pay taxes [How can we reverse this like an unnamed airline did? The smart folks not only didn't pay income taxes, they got themselves a bailout!] We are still in the Jet A1 supply business. Of course, that airline has to pay in advance. Credit is only given to those worthy. The unnamed airline is worthy. We plan on extending credit to it. Tomorrow. Tomorrow Never Comes. http://www.kenolkobil.co...x.php/business-segments
If there is anything we can make your visit to our locations more pleasant, please let us know how. We want to serve all our paying customers with the best we can offer. *Please fill up at KK. KQ to pay cash. Thank you. Come Again.* Kind of you. Stay in touch with you. KK remains an inspiration  Spotlight on measures to return KQ to profitability
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Rank: Elder Joined: 6/23/2009 Posts: 14,071 Location: nairobi
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in that k24 interview last week, Ngunze mentioned two important things, but if one is slow, u wouldnt notice :)
KQ ABP 4.26
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Rank: Elder Joined: 9/20/2015 Posts: 2,811 Location: Mombasa
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obiero wrote:in that k24 interview last week, Ngunze mentioned two important things, but if one is slow, u wouldnt notice :) Two important things: easier said than done. No need of being quick to pick them up. John 5:17 But Jesus replied, “My Father is always working, and so am I.”
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Rank: Chief Joined: 1/3/2007 Posts: 18,298 Location: Nairobi
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obiero wrote:in that k24 interview last week, Ngunze mentioned two important things, but if one is slow, u wouldnt notice :) 1) They fill up at KK. 2) They pay cash. Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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Rank: User Joined: 8/15/2013 Posts: 13,237 Location: Vacuum
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VituVingiSana wrote:obiero wrote:in that k24 interview last week, Ngunze mentioned two important things, but if one is slow, u wouldnt notice :) 1) They fill up at KK. 2) They pay cash.  If Obiero did it, Who Am I?
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