FLY91 plans to add 40 ATR aircraft to its fleet as the regional airline expands to 50 cities over the next five years from 12 currently, co-founder Manoj Chacko said.
The first aircraft is expected to be delivered by the end of 2027, with the full fleet to be in place within five years, Chacko said. The expansion will be funded partly through a fresh Rs 250 crore fundraise, taking the company's total capital raised to Rs 500 crore.
FLY91 is debt-free, Chacko said.
The airline expects demand for regional routes to remain strong as it expands its network. Chacko rejected the view that regional aviation has failed in India, saying mainstream airlines had faced challenges for their own reasons.
"It is a misnomer to say regional aviation has not worked in India," Chacko said. "Demand for regional routes is massive."
FLY91 currently operates to 12 cities and plans to reach 50 cities within five years. Chacko said the airline's ATR aircraft would give it an advantage on fuel costs because they consume less fuel.
Before the Gulf crisis, fuel accounted for 22% of FLY91's revenue, compared with 38% for other airlines, Chacko said. Despite fuel price volatility, that ratio has risen to 32%, he said.
"Consumers pay per trip, not for distance," Chacko said, describing the economics behind the airline's regional network.
FLY91 expects to reach cash break-even by the end of this year and break even in the next financial year, Chacko said. He added that the company has strong controls over how it manages its finances.
Chacko also said a former Indian Air Force Group Captain had joined FLY91. The airline has close to 15 veterans who have served in the Indian military, he said.
ALSO READ: Abhinandan Varthaman, Who Downed Pakistani Jet, Joins Private Airline As Pilot
Separately, Former Indian Air Force Group Captain And Vir Chakra Awardee Abhinandan Varthaman Has Joined FLY91 As A Pilot, According To Sources Cited By PTI. Varthaman Joined The Airline In August, The Sources Said.
When Contacted, A FLY91 Spokesperson Said Personal Information About Employees Was A Private Matter And Declined To Comment.
Neither Varthaman Nor FLY91 Has Officially Confirmed The Specifics Of His Role Or Responsibilities At The Airline.
Varthaman Shot To National Prominence In February 2019 When He Downed An Enemy Jet During An Aerial Combat With Pakistan, In The Aftermath Of The Balakot Air Strikes. His Aircraft Was Hit During The Engagement, And He Was Captured After Ejecting Into Pakistani Territory, Where He Was Held For Three Days Before Being Released Amid Heightened Diplomatic Pressure. The Episode Made Him A Household Name In India And Drew Global Attention To The India-Pakistan Military Standoff At The Time.
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