Pakistan International Airlines (PIA) is about to publish its first annual benefit in more than two decades, marking a significant reversal for the national carrier while it is progressing with the intention to sell the airline, according to documents observed by Bloomberg.
PIA recorded a profit by action by RS5.01 for the year ending in December, its first profitable year since 2003, on the basis of the verified financial statements.
The results should be submitted to the airline council for approval before being released publicly. PIA did not respond to a request for comments.
The results mark a spectacular recovery for an airline which, in recent years, has faced financial losses, including planes by impuming in foreign airports, canceled flights and default calls.
The government’s regular boundaries were the main rescue buoy of the airline, although these funds have now been exhausted.
Pakistan’s efforts to sell the airline last year failed because the initial offer did not reach the minimum price of around $ 306 million. However, the government has another attempt to privatize PIA, with initial offers expected later this month.
To make the sale more attractive, the government has suppressed around 75% of the debt of the airline of its books. This decision led to a renewal of the interests of potential buyers, companies that have already participated in the tender process now expressing greater confidence, according to Usman Bajwa, secretary of Pakistan’s Privatization Commission in February.
Operational gains in recent years have been offset by the significant burden of the debt service.
However, the PIA worked to reach operational profitability by implementing reforms, in particular by reducing its workforce by almost 30%, closing the non -profitable tracks and improving the use of fleets.
