Aircraft Refueling Retrospect: KAFCO Fueled Over 54,000 Aircraft in a Year, Equating to 148 Daily Flights
In the fiscal year 2024/2025, Kuwait Aviation Fueling Company (KAFCO) experienced a notable operational growth, servicing 54,371 aircraft with jet fuel, an increase of approximately 3,000 aircraft compared to the previous year, averaging 148 aircraft per day. This growth represents a 4.97% increase over the previous fiscal year.
The exported fuel, primarily low-sulfur (500 ppm) jet fuel, was shipped from the Shuaiba wharf at the Mina Abdullah refinery to meet the demand of Kuwait Petroleum Corporation (KPC) customers. This accounts for 18% of Kuwait's total exports and 55% of KPC's export volume, with the Kuwait Oil Tanker Company (KOTC) playing a significant role in transportation.
KOTC, in the previous year, transported 32.7 million metric tons, including 25.5 million tons of crude oil, 2 million tons of liquefied natural gas (LNG), and 5.2 million tons of petroleum products.
Interestingly, despite this operational growth, KAFCO's net profits declined by 24.5%, falling from 26.024 million dinars in 2023/2024 to 19.647 million dinars in 2024/2025. The reasons behind this decline are not explicitly stated in the available data, but potential factors could include increased costs, changes in market conditions, or non-operational expenses.
Other significant developments during this period include the expansion of KAFCO's global reach. Kuwaiti jet fuel is now being supplied to Kuwait Ministry of Defense aircraft at various international airports. Additionally, Kuwait Airways aircraft began receiving Kuwaiti jet fuel at four international airports - Sri Lanka, Istanbul, Kathmandu, and Najaf.
Furthermore, KAFCO has updated seven contracts based on International Air Transport Association (IATA) standards and signed four new international fuel supply contracts with companies in Turkey, Yemen, Nepal, and a private aviation firm.
The Maritime Agency, responsible for managing the arrival of oil tankers, handled 1,521 oil tankers, including 1,346 foreign tankers and 175 Kuwaiti tankers, marking a 4.97% increase over the previous year.
These developments highlight the ongoing growth and expansion of KAFCO's operations, despite the decline in net profits. For a precise explanation of the financial decline, one might need to consult KAFCO's official financial reports or trusted business news sources covering the 2024/2025 fiscal year results.
[1] National Bank of Kuwait (NBK) announced climate initiatives and efficiency improvements in 2024, but there is no direct mention of KAFCO or its financial performance in these results.
- The ongoing growth and expansion of KAFCO's operations, as evidenced by the increased number of aircraft serviced and the expansion of its global reach, suggests a potential growth opportunity for the energy, aerospace, and transportation industries.
- Technology plays a significant role in KAFCO's operations, as the company has updated seven contracts based on International Air Transport Association (IATA) standards, demonstrating its commitment to adopting industry-standard technology.
- The decline in net profits experienced by KAFCO during the fiscal year 2024/2025, despite operational growth, might have implications for the finance and automotive sectors, as changes in a company's financial performance can impact its ability to invest and grow.
