New Delhi, May 14 (IANS). According to the annual report of Singapore Airlines released on Thursday, Air India has suffered a huge loss of $ 2.8 billion in the financial year 2025-26.
Singapore Airlines Group reported a 57.4 per cent decline in net profit for the financial year ending March 2026 to SGD 1.184 billion. The company said it has a 25.1 per cent stake in Air India and Air India’s losses have impacted the group’s overall profits.
According to the report, Air India suffered a loss of 3.56 billion Singapore dollars in the 12 months to March 2026, or about 2.80 billion dollars at the current exchange rate.
In comparison, Singapore Airlines Group had reported a net profit of S$2.778 billion in FY 2024-25.
Singapore Airlines Group said it remains committed to its 25.1 per cent stake in Air India and considers it an important part of its long-term multi-hub strategy.
According to the company, this strategic investment gives it a direct stake in the world’s largest and fastest growing aviation markets, strengthening its Singapore hub and supporting long-term growth.
Group net profit declined by S$1.594 billion, or 57.4 per cent, the airline said in a press statement. The main reason for this was the absence this time of non-cash accounting profit of 1.098 billion Singapore dollars on completion of Air India-Vistara merger in November 2024.
The company said it had profited from associates last year, but recorded a loss of S$846 million this time. The reason for this was that this time the group included the entire year’s loss of Air India in its balance sheet, whereas last year only the effect of four months was included.
Loss-making Air India has had to cancel several international flights in the last few months. The closure of Pakistan’s airspace and the ongoing tension in West Asia have affected the airline’s revival plans.
According to Civil Aviation Ministry data, both domestic and international air passenger numbers in India declined in April compared to March.
There has been a sharp decline in international flights due to the West Asia crisis. At the same time, due to increase in jet fuel prices, operating costs have also increased, making the situation of the airline more difficult.
Domestic air passenger traffic in India stood at 140.8 lakh in April, down 4 percent on an annual and monthly basis. At the same time, a huge decline of 20 percent was recorded in international traffic as compared to March and the number of passengers decreased to 28.3 lakh.
–IANS
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