The Airports Authority of India (AAI) has returned to profitability, earning a profit of Rs 3,400 crore in the fiscal year ending in March. This positive financial performance is attributed to the significant increase in domestic air traffic, marking the first profitable year for AAI since the COVID-19 pandemic severely impacted air travel and the aviation industry as a whole.
In the previous two fiscal years, 2020-21 and 2021-22, AAI had reported losses. Specifically, the loss amounted to Rs 3,176.12 crore in the financial year ending March 2021 and Rs 803.72 crore in the fiscal year ending March 2022. These figures exclude exceptional and extraordinary items as well as tax.
The source, speaking to PTI, revealed that AAI's provisional profit for the financial year 2022-23 stands at Rs 3,400 crore. However, the final figure will be determined after the audit of the financial results.
The source also emphasized that the impressive performance was mainly driven by the substantial growth in domestic air traffic. Official data shows that in 2022, domestic air passenger traffic surged by 47.05%, reaching 12.32 crore compared to the previous year's 8.38 crore. Furthermore, passenger numbers in the first three months of this year skyrocketed by 51.70%, totaling 3.75 crores compared to 2.47 crores during the same period last year.
In the financial year 2021-22, AAI recorded a meager profit of Rs 8.76 crore, including exceptional items and tax.
It is worth noting that in the fiscal year ending March 2022, the government waived the compulsory dividend payment requirement. AAI had requested this waiver in exchange for waiving Air India's dividend, which was done before the government sold the loss-making carrier to the Tata Group in January 2022.
AAI currently manages 137 airports, including 24 international and 80 domestic airports. Additionally, it provides Air Traffic Management Services (ATMS) for the entire Indian airspace and adjacent oceanic areas.