Island Aviation brings down losses to MVR 2.8 million, showing recovery after Covid blow

Island Aviation (IAS), which operates national airline Maldivian, has incurred loss last year as well, the company's financial records indicate.

Financial records of IAS for 2024 released by the Auditor General's Office show that last year, the company received MVR 2.27 billion in revenue.

A large part of this is owed to the airline's domestic flights, coming to MVR 1.6 billion. This is 75 percent of the total revenue, the report shows.

As per the records, once operational costs are deducted from this, the operational profit of the company last year is at MVR 171 million.

Once financing costs and taxes are deducted, the company has a loss of MVR 2.82 million.

This is the fifth year that IAS has been operating at loss. In 2023, IAS loss was at MVR 71.4 million. Since 2014, the company was operating at profit until the Covid 19 pandemic in 2020.

Although the company remains in loss, the rate of loss has been significantly decreased compared to previous years, showing progress in recovery after the pandemic blow.

In efforts to make the company profitable again, IAS has expanded their services and introduced new services as well. As such, this year, the company brought in a wide body aircraft and increased international flights.

With the company's Dash 8 aircrafts becoming aged, IAS is also working on replacing them with ATR planes.