PIA Returns to Profit After 21 Years Amid Restructuring and Privatization Push

Pakistan International Airlines (PIA) has posted its first net profit in over two decades, with FY2024 results showing a Rs 2.26 billion net gain and an operational profit of Rs 3.9 billion—its first since 2003.

According to the airline’s board, the operating margin exceeded 12%, placing PIA alongside some of the world’s top-performing carriers. This milestone follows sweeping reforms that included manpower reductions, cost-cutting measures, and a sharper focus on profitable routes.

Loss-making routes were discontinued, and the airline’s balance sheet was restructured, helping to reverse years of financial decline. Defence Minister Khawaja Asif, who also oversees aviation, hailed the turnaround as a “boost” for the airline’s privatisation efforts.

An earlier attempt to sell PIA fell through after bids failed to meet the $306 million benchmark. However, the new profitability and removal of significant debt have made the carrier more appealing to investors.

Bloomberg noted that this recovery marks a major shift for PIA, which in recent years battled near-defaults, grounded aircraft, and canceled flights due to severe financial distress.

With privatisation bids expected later this month, PIA’s improved financial footing is likely to draw stronger interest from buyers.