Key Takeaways:
- PIA has achieved its first annual profit in 21 years, reporting earnings per share of Rs5.01 for the year ending December 2024.
- This turnaround is attributed to comprehensive reforms, including workforce reduction, route optimization, and financial discipline.
- The government’s renewed privatization efforts are underway, aiming to attract investors after addressing the airline’s debt burden.
Islamabad, Pakistan – April 9, 2025 – Pakistan International Airlines (PIA), the nation’s flag carrier, has reported its first annual profit in 21 years, marking a significant turnaround as the government moves forward with plans to privatize the airline. According to reports, PIA recorded earnings per share of Rs5.01 for the year ending in December 2024, its first profitable year since 2003.
Defence Minister Khawaja Asif announced that PIA achieved an operating profit of Rs9.3 billion and a net profit of Rs26.2 billion in FY2024. Centre for Aviation reports that Asif credited this performance to “cost and workforce rationalisation, routes optimisation and financial discipline with balance sheet restructuring”.
To address these issues, the airline implemented reforms such as reducing its workforce by nearly 30%, closing unprofitable routes, and improving fleet utilization.
The airline’s operating margin exceeded 12%, comparable to some of the best global carriers. Islamabad Post notes that the last time PIA recorded a profit was in 2003. This achievement is particularly significant as the government prepares to sell off the airline.
PIA has faced significant financial challenges in recent years, including aircraft being impounded abroad and flight cancellations. To address these issues, the airline implemented reforms such as reducing its workforce by nearly 30%, closing unprofitable routes, and improving fleet utilization. The government also removed a substantial portion of PIA’s debt to make it more attractive to investors.
