Singapore Airlines has reaffirmed its confidence in Air India, despite the Indian carrier’s losses affecting its own profitability. CEO Goh Choon Phong stated that there is “no disillusionment” regarding the investment, emphasising that transforming Air India is a long-term journey with expected challenges.
Phong highlighted that Air India’s major transformation programme—launched in September 2022—continues to overhaul fleet, customer service, operations, and internal systems. Singapore Airlines sees its 25.1% stake as a strategic gateway into India’s fast-growing aviation market across full-service and low-cost segments.
Despite the Ahmedabad crash and operational disruptions in 2025, customer confidence remains strong, Phong said. Singapore Airlines has been closely working with Air India, offering support whenever required. However, its own net profit declined 67.8% year-on-year due to accounting losses from associated companies, including Air India.
For FY25, the merged Air India group—comprising Air India, Vistara, Air India Express, and AIX Connect—reported INR 78,636 crore in revenue but a widened net loss of INR 10,859 crore. Phong clarified that these are accounting losses and do not hurt Singapore Airlines’ cash flow or financial strength.
Air India’s performance in 2025 was affected by external factors: the June crash triggered a “safety pause,” grounding aircraft and reducing capacity; Pakistan and West Asia airspace closures increased fuel costs; and the rupee’s depreciation added further pressure. Restoration efforts began in October.
On future equity participation or additional capital infusion, Phong said such decisions lie with both shareholders but maintained that engagement with Air India remains strong. With board representation aligned to its 25.1% stake, Singapore Airlines continues to back the restructuring process and remains committed to its partnership with the Tata group.