Pakistan International Airlines (PIA) is on track to report its first profit in more than 20 years, as the national carrier prepares for a sale. For the year ending in December, the airline achieved earnings per share of 5.01 rupees, marking its first profitable year since 2003, according to audited financial statements. The results are set to be presented to the airline’s board for approval before being publicly released. PIA did not comment when approached.
This positive financial shift follows years of struggle, during which the airline suffered significant losses, leading to impounded aircraft at foreign airports, canceled flights, and fears of default. Despite these challenges, the airline managed to stay afloat due to consistent government bailouts, which have now come to an end.
The government had previously attempted to privatize the airline but failed after an initial bid fell short of the expected $306 million minimum price. However, with the airline’s restructuring, there’s a renewed interest from potential buyers. Pakistan’s government has made the sale more appealing by reducing PIA’s massive debt burden, which had previously hindered operational profitability. As of now, about three-fourths of the debt has been absorbed by the government, and the remaining liabilities have been cleared, making the sale more attractive. Usman Bajwa, secretary at the Privatization Commission, mentioned in February that there is now greater enthusiasm from companies that had initially expressed interest. 
PIA has been working toward operational profitability for the past three years, introducing significant reforms such as reducing its workforce by nearly 30%, eliminating unprofitable routes, and improving fleet utilization.
As PIA looks forward to a potential sale, the focus remains on its financial health and the successful turnaround that has led to this historic achievement. With government-backed debt restructuring and cost-saving measures in place, the airline is on a positive trajectory, signaling hope for a stable future.
