"Air India is going to report operating profit in this financial year (ending March 31, 2016) and is expected to be Rs 6 crore," Civil Aviation Secretary RN Choubey said today.
The loss-making national carrier, surviving on a Rs 30,000 crore bailout package, is implementing a turnaround plan. Air India and Indian Airlines merged into one entity in 2007.
"The airline is benefiting from fall in crude oil prices and improved operational efficiency," Choubey said. According to him, better on-time performance and increased availability of passenger aircraft have helped in improving operational efficiency.
According to airline sources, Air India has saved Rs 2,000 crore on account of lower fuel bill.
It has also seen a significant improvement in its overall on-time performance in the recent months. As against an OTP of 57 percent from the four metro airports---Delhi, Mumbai, Bengaluru and Hyderabad -- in January, its OTP from these four airports stood at close to 82 percent, in September 2015.


Latest News  from Business News Desk