Air India posts annual loss of $2.8 billion, Singapore Air results show

Air India recorded a record loss of more than $2 billion for its 2025-26 fiscal year, according to shareholder Singapore Airlines' annual report, as India's second-largest airline grappled with disruption from the Iran war ‌and Pakistan's ⁠ban ⁠on Indian carriers from its airspace.

In its report, released on Thursday, Singapore Airlines, which owns a 25% stake in Air India, said the Indian group's losses amounted to 3.56 billion Singapore dollars, or $2.80 billion at current exchange rates, for the ⁠12 months ‌to end-March.

Singapore Airlines did not indicate the exchange rate it had used to ⁠calculate the loss. Reuters previously reported that Air India was expected to post an annual loss of $2.12 billion.


Air India, which is not listed in India and has not yet filed its earnings with local regulators, declined to comment. Its 2024-25 loss stood at ‌39.75 billion Indian rupees ($415.09 million).

The loss will be another major setback for the airline, which has been ⁠forced to cut scores of international flights in recent months, hitting its turnaround plans.

Air India's flight cuts are a boon for foreign carriers, with Lufthansa Group and Cathay Pacific among those adding services to one of the world's fastest-growing aviation markets, Reuters reported on Thursday.