Thai Airways International (THAI) has announced it is on track to exit its court-sanctioned rehabilitation plan ahead of schedule, with CEO Chai Eamsiri anticipating a mid-2024 departure. The airline’s consistently improving performance aligns with recovery in the tourism sector, which has been crucial to the rebound.
THAI and its subsidiary, Thai Smile Airways, have reported profits for four consecutive quarters. The second quarter of this year recorded pre-tax profits of 2.3 billion baht, marking a remarkable 171% increase compared to the same period last year – the airline’s highest profit in two decades.
To further its financial progress, THAI plans to register on the stock market, making its shares publicly tradable on the Thai bourse, potentially by March 2025.
With an estimated cash current account of 50 billion baht, THAI expressed confidence in managing its substantial debt and interest payments, averaging around 10 billion baht annually from next year onward, with the goal of settling all debts by the end of 2031.
Chai affirmed that the ongoing political situation will not have significant repercussions on the airline, noting its commitment to pursuing investments in the U-Tapao aviation maintenance center – a project valued at about 7 billion baht.
With THAI’s financial status on the mend and its strategies for restructuring and future investments falling into place, analysts believe the airline is well-positioned for a stable resurgence in the coming years. (NNT)
