Air India is facing a record 150 billion rupees ($1.6 billion) annual loss after a torrid year marred by a fatal Boeing 787-8 crash and operational troubles.
According to Bloomberg, an unnamed source told the publication that Air India had hoped to break even in the year up to March 31, 2026, but plans had been scuppered by a series of events over preceding months.
Most significant was the Air India Boeing 787-8 Dreamliner crash on June 12, 2025, which killed 229 passengers and 12 crew members. While one passenger survived, around 19 people on the ground were also killed.
Following the crash Air India was forced to temporarily cut services and was instructed by the Directorate General of Civil Aviation (DGCA) to inspect its entire Dreamliner fleet.
Air India’s fortunes were also struck in April 2025 when Pakistan closed its airspace to Indian airlines after violence broke out between India and its neighbor.
After Pakistan announced that its airspace would immediately close to “Indian owned or Indian operated airlines” carriers such as Air India and IndiGo had to find more expensive alternative routes.
Rumors have also recently swelled that Tata Group, which along with Singapore Airlines owns Air India, is actively looking for the potential replacement of Air India CEO Campbell Wilson.
While Air India will be hoping for a better 2026, the impending final report into the Dreamliner crash is expected to be released later this year and may include criticisms of the carrier.