Kilman cobbled together a coalition of 11 parties to give him 29 votes in the 52-seat parliament and defeat his closest rival Edward Natapei.
His re-election is a rare example of political continuity in Vanuatu, which changed leaders five times between 2008 and 2011 after a series of no-confidence motions and legal challenges to parliamentary votes.
Formerly known as the New Hebrides, Vanuatu lies about 1,900 kilometres (1,180 miles) north-east of the Australian city of Brisbane.
The archipelago of more than 80 islands with a population of 240,000 was administered jointly by Britain and France before gaining independence in 1980.