Pakistan International Airlines (PIA) is reportedly geared up to post an annual profit for the first time in over 20 years, marking a significant financial turnaround just as the government prepares for another attempt to privatise the airline.
According to audited financial statements reviewed by Bloomberg, PIA reported earnings per share of 5.01 rupees for the year ending in December 2024. These results, which represent the company’s first profitable year since 2003, will be submitted for approval from the airline’s board before being made public.
The dramatic improvement comes after years of mounting financial distress that left the airline teetering on the edge of collapse. In recent years, PIA faced aircraft seizures abroad, widespread flight cancellations, and chronic operational disruptions. With recurring losses pushing the airline toward default, it stayed afloat largely due to consistent financial support from the government—aid that has now ceased, the report noted.
Fresh Push for Privatisation Amid Renewed Interest
The return to profitability comes at a crucial time as Pakistan prepares a renewed push to offload its national airline. An earlier attempt to privatise PIA failed after bids came in below the minimum threshold of around $306 million. However, the government is moving forward with a fresh round of bidding, with offers expected later this month.
To make the airline a more attractive buy, officials have made significant changes to PIA’s balance sheet. Roughly three-quarters of its debt was shifted to the government’s books during the initial privatisation attempt. According to Usman Bajwa, secretary at the privatisation commission, all of the carrier’s debt has now been removed. “The companies that participated earlier have shown renewed interest,” Bajwa said in February, the report added.
The airline’s improved financial health is also tied to operational reforms pursued over the past three years. These include slashing the workforce by nearly 30 per cent, axing loss-making routes, and making better use of its fleet—measures aimed at restoring operational viability in the absence of government bailouts.
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