PIA posts profit after two decades of consistent losses

ISLAMABAD: After about 21 years of consistent losses, Pakistan International Airlines (PIA) has posted a net profit for the first time since 2003, marking a major turnaround in the national carrier’s financial performance.

The last time PIA reported a profit was in 2003. Since then, the airline had been mired in financial trouble, accumulating heavy losses.

According to the annual results for 2024, approved by PIA’s Board of Directors, the airline posted an operational profit of Rs3.9 billion and a net profit of Rs2.26 billion. The airline’s operating margin exceeded 12 per cent — a figure on par with some of the best-performing global airlines.

The financial results for the national carrier were officially announced by Defence Minister Khawaja Asif, describing them as a significant milestone in PIA’s journey and a critical step forward in the airline’s ongoing privatisation process.

In a post to his official X account, the minister wrote:

“#PIACL Board today has approved its accounts FY 2024, and after 21 years, it has achieved an operating profit of PKR 9.3 Billion & Net Profit of PKR 26.2 Billion (after deferred tax adjustment).

“People of #Pakistan might have lost hope on ‘once a pride of the nation’, but with rigorous steps adopted by the GoP; implementing comprehensive reforms entailing cost & workforce rationalisation, routes optimization & financial discipline with balance sheet restructuring, PIA is poised to capitalise on financial performance through privatization process.

“Good news is coming from all around, Alhamodillah!”

PIA officials attributed the recovery to sweeping reforms implemented under government supervision. These included right-sizing the workforce, reducing expenses, focusing on profitable routes, eliminating loss-making ones, and restructuring the airline’s balance sheet.

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They believe the turnaround not only would help restore the airline’s reputation but also contribute positively to the national economy.