Air India FY2026 loss reaches SGD 3.56 billion amid airspace curbs, Singapore Airlines Group reports

Air India Group posted a total comprehensive loss of SGD 3.557 billion, or over Rs 26,700 crore, for the year ended March 2026. The losses came as Air India dealt with airspace limits and other pressure points. The figures appeared in Singapore Airlines Group’s annual financial report for 2025-26, released on Thursday.

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Singapore Airlines Group said its net profit fell 57 per cent to SGD 1.184 billion, nearly Rs 8,900 crore, in the fiscal ended March 2026. The decline was mainly linked to Air India’s losses. The group also cited the absence of a one-off accounting gain from the prior year tied to the Vistara merger.

Air India loss and revenue details in SIA financial report

The report said Air India Group revenue reached SGD 10.533 billion, or over Rs 79,150 crore, in the last financial year. The rupee amounts use the current exchange rate. The figures cover the Air India Group, which includes Air India and Air India Express.

Singapore Airlines stated that the results shown for Air India came from internal records. Singapore Airlines said, "The summarised comprehensive income information for AI above and the Groups share of losses for FY2025/26 are based on AIs management accounts for the year ended 31 March 2026,\" in the annual report.

Air India headwinds from airspace restrictions and jet fuel prices

Singapore Airlines said Air India faced several operational and cost issues during the year. These included industry-wide supply chain limits and airspace restrictions. Singapore Airlines also pointed to limits affecting operations to key Middle East markets. Elevated jet fuel prices were listed as another pressure.

Air India also referred to these issues while announcing a reduction in international flights on Wednesday. Air India said \"a combination of factors, including continued airspace restrictions over certain regions and record-high jet fuel prices for international operations, are significantly impacting the commercial viability of certain planned services.\"

Despite these pressures, Singapore Airlines said Air India continued to move ahead on several programmes. These included fleet renewal and aircraft retrofits. Singapore Airlines also noted efforts to improve the end-to-end customer experience. The update also mentioned steps to lift operational performance during the period.

The disclosed figures placed Air India’s results among the key factors influencing Singapore Airlines Group’s earnings for FY2025-26. The report linked the profit drop to Air India losses and the missing one-off Vistara-related gain. It also set out the main constraints, while noting ongoing work on aircraft, service, and operations.

With inputs from PTI