New Delhi, November 2026 : Air India is estimated to have incurred losses of approximately Rs 10,500 crore during the first half of the financial year 2026-27, according to financial disclosures by Singapore Airlines (SIA), which holds a 25.1 per cent stake in the Indian carrier. The estimated losses are lower than the Rs 12,500 crore recorded during the corresponding period last year.
Singapore Airlines on Wednesday reported that its share of Air India's losses declined by 16 per cent to S$361.7 million (approximately Rs 2,640 crore) during the six-month period. In the year-ago period, its share of losses stood at S$429.5 million, equivalent to around Rs 3,140 crore.
Based on an exchange rate of S$1 at Rs 73 and the respective ownership stakes of Singapore Airlines and the Tata Group, Air India's estimated losses for the first half stood at around Rs 10,500 crore. The Air India Group had reported total losses of approximately Rs 22,000 crore in FY26.
Singapore Airlines Reports Lower Half-Year Profit
Meanwhile, Singapore Airlines reported a net profit of S$134 million for the six months ended Wednesday, compared with S$239 million in the corresponding period a year earlier.
The airline's total costs increased by more than 20 per cent to S$10.73 billion, while average jet fuel prices surged 86.7 per cent year-on-year to US$171 per barrel.
SIA attributed the decline in its first-half profit primarily to lower operating profits. The impact was partly offset by a reduction in losses from associated companies, mainly Air India, which contributed an improvement of S$68 million, along with lower tax expenses of S$70 million.
Despite the financial challenges, Singapore Airlines said Air India had made tangible progress in its multi-year transformation programme.
Tata Group and SIA Focus on Air India's Turnaround
Singapore Airlines described its investment in Air India as a key pillar of its multi-hub strategy. The airline said it and the Tata Group were continuing to work together to support Air India's efforts to achieve profitable growth.
The focus areas include improving cost efficiencies, strengthening operational and commercial synergies between Air India and Air India Express, refining the airline's commercial strategy and enhancing customer services.
The partnership is expected to play an important role in Air India's ongoing transformation as it seeks to improve operational performance and strengthen its position in the competitive aviation market.
Sustainable Profitability Remains Key Objective
Air India's newly appointed Chief Executive Officer and Managing Director, Tewolde Gebremariam, had said in September that achieving sustainable profitability remained a key objective for the airline.
Acknowledging that a combination of external factors had affected the carrier's progress towards breaking even, he stressed that improving financial performance remained a priority.
He also underlined the importance of making cost discipline an integral part of the airline's organisational culture.
The latest financial disclosures indicate that while Air India's losses have declined year-on-year, the airline continues to face a significant challenge in its pursuit of sustainable profitability.
(Disclaimer :The content of this article is sourced from a news agency and has not been edited by the Mavericknews30 team.)
