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New Delhi: India’s legacy airline, Air India, has been caught in a spiral of losses it hasn’t been able to escape, and its second-largest shareholder, Singapore Airlines, has borne the brunt of this.
With a net loss of ₹26,800 in FY26, an almost 12-fold surge from the previous year, Air India requires all the help it needs to get out of this mess.
Singapore Airlines Group (SIA), which holds a 25% stake in the carrier, has had to write down 57% of its profits as it looks to bail out the carrier. According to reports, SIA has had to report $742 million in non-cash losses directly on its balance sheet as shown in its March 31, 2026 financial results.
At an earnings briefing, SIA CEO Goh Choon Phong said they will continue to support Air India, as it has made ‘tangible progress’ in its transformation program.“It is going to be a long game. There is no shortcut,” he said.
Following the Ahmedabad-London plane crash at Ahmedabad airport in May last year, Air India has had to face a host of challenges, with fuel price rises, airspace closures and various other challenges as it is in the midst of rebranding the carrier as a leading source of pride for Indians.
Despite the challenges, SIA maintains it is collaborating with Tata Sons to help Air India transform itself.
“The Company is committed to its 25.1% investment in the Air India Group, which is a core component of its long-term multi-hub strategy. This strategic investment provides the Group with a direct stake in one of the world’s largest and fastest-growing aviation markets, complementing its Singapore hub and strengthening its long-term growth. SIA is working closely with its partner Tata Sons to support Air India’s multi-year transformation programme. Air India faces headwinds such as industry-wide supply chain constraints, air space restrictions, constraints on operations to its key Middle East markets, and elevated jet fuel prices. Nonetheless, it continues to make progress in its fleet renewal and aircraft retrofit program, initiatives to elevate the end-to-end customer experience, and improve its operational performance,” the company said in a press release.
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