Bengaluru: Some muting of the elevated aviation turbine fuel (ATF) costs, the pricing discipline maintained as the industry consolidated operations with aircraft groundings, is expected to help the Indian aviation industry bring down its net losses to Rs 3,000-5,000 crore in the current financial year from estimated Rs 17,000-17,500 crore losses it clocked in FY23, Investment Information and Credit Rating Agency (ICRA) said on Tuesday.
Going forward, the industry will see a revenue growth of 15-20 per cent and 10-15 per cent in FY24 and FY25, respectively. “The air passenger traffic momentum witnessed in the current fiscal is expected to continue in FY2025, though further expansion in yields from the current levels may be limited. Thus, the industry is estimated to report a similar net loss of ~Rs 3,000-5,000 crore in FY2025 as well,” said Suprio Banerjee, Vice President and Sector Head – Corporate Ratings, ICRA Limited.
