KQ share rises to three-month high on reports of loss reduction

What you need to know:

The Kenya Airways gain Thursday stood at 4.8 per cent as it moved 156,000 shares to close at its highest level since July 21.

Kenya Airways (KQ) climbed to nearly a three-month high of Sh4.35 a share at the NSE Thursday after the airline indicated that it had halved its half-year loss for the six months to September 2016.

The KQ gain Thursday stood at 4.8 per cent as it moved 156,000 shares to close at its highest level since July 21.

The airline released the advance extracts of its results at a time it is bracing for a potential strike by pilots on October 18, with the full half-year results set for release on October 27.

“Our half-year results to be released at the end of this month reflect an operating profit improvement of Sh2 billion (and) a reduction in net losses of Sh7 billion, from Sh12 billion to Sh5 billion,” said Kenya Airways in a statement.

The airline’s stock has been depressed in recent months on the back of negative corporate news, touching a low of Sh3.30 in the first week of September.

READ: KQ announces improved financials, says strike threat unjustified

There was limited movement in the rest of the market Thursday especially the larger stocks, meaning that the NSE 20 share index was only 4.8 points down to close at 3,242.

Turnover also declined to Sh297 million from Wednesday’s Sh550 million, while the number of shares traded stood at 14 million compared to 19 million on Wednesday.

Safaricom accounted for 43 per cent of the days total traded turnover, moving 6.4 million shares valued at Sh127.8 million at an average of Sh19.95 a share.

Athi River Mining (ARM) also saw significant trading, moving 2.27 million shares worth Sh56.8 million, at a price of Sh25.