New Delhi: Air India Express is preparing a 10-year vision document as it looks at expanding its fleet and flying to more foreign destinations, a senior airline official said. The plan is being prepared amid the government working on a roadmap for disinvestment in Air India, the debt laden parent of the low-cost carrier which remains bullish on growth prospects. While the national carrier has been in the red for long, Air India Express remained in the black for a second consecutive year, posting a net profit of Rs 296.7 crore in 2016-17.
"It is business as usual" and the the airline would keep
growing, Air India Express CEO K Shyam Sundar said in response
to queries on whether there are business uncertainties in the
wake of Air India disinvestment decision.
On future plans, he said the carrier would expand its
aircraft fleet and fly to more overseas destinations.
"The airline is in the process of drawing up a long term
plan that will focus on expanding the fleet as well as the
overseas footprint. The airline is also looking to consolidate
the existing operations," Sundar told PTI.
Air India Express has a fleet of 23 Boeing 737-800NG
aircraft, each having a seating capacity for 189 people.
"A ten-year vision document for Air India Express is
being prepared. Consulting firms KPMG and ICF have been tasked
with the job," Sundar said.
The airline would also be firming up its fleet strategy
based on short term and long term priorities.
It flies to 15 international destinations including
Dubai, Sharjah, Abu Dhabi, Ras Al Khaimah, Bahrain, Doha,
Kuwait, Muscat, Salalah, Singapore, Kuala Lumpur, Riyadh and
Dhaka.
On domestic routes, it has flights between Chennai-
Thiruvananthapuram, Kozhikode-Thiruvananthapuram, Kochi-
Thiruvananthapuram and Kochi-Kozhikode.
AI Express has 545 weekly departures and it flew 3.4
million passengers in 2016-17.
Boosted by higher revenues and reduction in costs, the
airline posted a net profit of Rs 296.7 crore in the last
financial year even though it had declined from Rs 361.68
crore recorded in 2015-16 period.
AI Express, which has been operationally profitable for
the last four years, saw its revenue rise to Rs 3,335 crore in
2016-17.
"Prudent commercial and management interventions
including better utilisation of its assets gave rise to
reduction of about 5-7 per cent in unit costs contributing to
the positive financial outcome (in 2016-17)," the airline had
said while announcing the results last month.
On June 28, the Cabinet Committee on Economic Affairs,
gave its in-principle approval for considering strategic
disinvestment of Air India and five of its subsidiaries. Air
India Express is one of the subsidiaries.
A group of ministers, headed by finance minister Arun
Jaitley, would be deciding on the final contours of the
disinvestment process. Among other issues, the panel would be
looking at the de-merger and strategic disinvestment of three
profit-making subsidiaries.
New Delhi: Air India Express is preparing a 10-year vision document as it looks at expanding its fleet and flying to more foreign destinations, a senior airline official said. The plan is being prepared amid the government working on a roadmap for disinvestment in Air India, the debt laden parent of the low-cost carrier which remains bullish on growth prospects. While the national carrier has been in the red for long, Air India Express remained in the black for a second consecutive year, posting a net profit of Rs 296.7 crore in 2016-17.
"It is business as usual" and the the airline would keep
growing, Air India Express CEO K Shyam Sundar said in response
to queries on whether there are business uncertainties in the
wake of Air India disinvestment decision.
On future plans, he said the carrier would expand its
aircraft fleet and fly to more overseas destinations.
"The airline is in the process of drawing up a long term
plan that will focus on expanding the fleet as well as the
overseas footprint. The airline is also looking to consolidate
the existing operations," Sundar told PTI.
Air India Express has a fleet of 23 Boeing 737-800NG
aircraft, each having a seating capacity for 189 people.
"A ten-year vision document for Air India Express is
being prepared. Consulting firms KPMG and ICF have been tasked
with the job," Sundar said.
The airline would also be firming up its fleet strategy
based on short term and long term priorities.
It flies to 15 international destinations including
Dubai, Sharjah, Abu Dhabi, Ras Al Khaimah, Bahrain, Doha,
Kuwait, Muscat, Salalah, Singapore, Kuala Lumpur, Riyadh and
Dhaka.
On domestic routes, it has flights between Chennai-
Thiruvananthapuram, Kozhikode-Thiruvananthapuram, Kochi-
Thiruvananthapuram and Kochi-Kozhikode.
AI Express has 545 weekly departures and it flew 3.4
million passengers in 2016-17.
Boosted by higher revenues and reduction in costs, the
airline posted a net profit of Rs 296.7 crore in the last
financial year even though it had declined from Rs 361.68
crore recorded in 2015-16 period.
AI Express, which has been operationally profitable for
the last four years, saw its revenue rise to Rs 3,335 crore in
2016-17.
"Prudent commercial and management interventions
including better utilisation of its assets gave rise to
reduction of about 5-7 per cent in unit costs contributing to
the positive financial outcome (in 2016-17)," the airline had
said while announcing the results last month.
On June 28, the Cabinet Committee on Economic Affairs,
gave its in-principle approval for considering strategic
disinvestment of Air India and five of its subsidiaries. Air
India Express is one of the subsidiaries.
A group of ministers, headed by finance minister Arun
Jaitley, would be deciding on the final contours of the
disinvestment process. Among other issues, the panel would be
looking at the de-merger and strategic disinvestment of three
profit-making subsidiaries.
New Delhi: Air India Express is preparing a 10-year vision document as it looks at expanding its fleet and flying to more foreign destinations, a senior airline official said. The plan is being prepared amid the government working on a roadmap for disinvestment in Air India, the debt laden parent of the low-cost carrier which remains bullish on growth prospects. While the national carrier has been in the red for long, Air India Express remained in the black for a second consecutive year, posting a net profit of Rs 296.7 crore in 2016-17.
"It is business as usual" and the the airline would keep
growing, Air India Express CEO K Shyam Sundar said in response
to queries on whether there are business uncertainties in the
wake of Air India disinvestment decision.
On future plans, he said the carrier would expand its
aircraft fleet and fly to more overseas destinations.
"The airline is in the process of drawing up a long term
plan that will focus on expanding the fleet as well as the
overseas footprint. The airline is also looking to consolidate
the existing operations," Sundar told PTI.
Air India Express has a fleet of 23 Boeing 737-800NG
aircraft, each having a seating capacity for 189 people.
"A ten-year vision document for Air India Express is
being prepared. Consulting firms KPMG and ICF have been tasked
with the job," Sundar said.
The airline would also be firming up its fleet strategy
based on short term and long term priorities.
It flies to 15 international destinations including
Dubai, Sharjah, Abu Dhabi, Ras Al Khaimah, Bahrain, Doha,
Kuwait, Muscat, Salalah, Singapore, Kuala Lumpur, Riyadh and
Dhaka.
On domestic routes, it has flights between Chennai-
Thiruvananthapuram, Kozhikode-Thiruvananthapuram, Kochi-
Thiruvananthapuram and Kochi-Kozhikode.
AI Express has 545 weekly departures and it flew 3.4
million passengers in 2016-17.
Boosted by higher revenues and reduction in costs, the
airline posted a net profit of Rs 296.7 crore in the last
financial year even though it had declined from Rs 361.68
crore recorded in 2015-16 period.
AI Express, which has been operationally profitable for
the last four years, saw its revenue rise to Rs 3,335 crore in
2016-17.
"Prudent commercial and management interventions
including better utilisation of its assets gave rise to
reduction of about 5-7 per cent in unit costs contributing to
the positive financial outcome (in 2016-17)," the airline had
said while announcing the results last month.
On June 28, the Cabinet Committee on Economic Affairs,
gave its in-principle approval for considering strategic
disinvestment of Air India and five of its subsidiaries. Air
India Express is one of the subsidiaries.
A group of ministers, headed by finance minister Arun
Jaitley, would be deciding on the final contours of the
disinvestment process. Among other issues, the panel would be
looking at the de-merger and strategic disinvestment of three
profit-making subsidiaries.
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