Pakistan International Airlines (PIA) has announced a net profit for the first time since 2003, recovering from losses of Rs. 104.5 billion last year. The airline’s board of directors approved the financial results for 2024, as reported by Bloomberg.

For the year ending December, PIA achieved earnings per share of Rs. 5.01, resulting in an operational profit of Rs. 3.9 billion and a net profit of Rs. 2.26 billion. The airline also reported an operating margin exceeding 12 percent.

Once burdened by heavy debt and operational inefficiencies, PIA has undergone significant reforms, including a nearly 30 percent reduction in workforce, cost control measures, and the streamlining of profitable routes while closing consistently loss-making sectors. The restructuring of its balance sheet has been a key factor in the airline’s return to profitability.

In recent years, PIA faced challenges such as grounded aircraft abroad, canceled flights, and fears of default. A previous privatization attempt in 2024 failed when initial bids fell below the $306 million benchmark. The government is now preparing for a second round of privatization, with new bids expected later this month.

To enhance the airline’s attractiveness to potential buyers, authorities have transferred the majority of PIA’s Rs. 660 billion debt to a separate government-owned holding company. Companies that previously expressed interest in acquiring PIA have re-engaged, and operational losses have decreased significantly, aided by an 87 percent drop in finance costs to Rs. 10.1 billion, despite a 14 percent decline in revenue to Rs. 204 billion.