Thai Airways’ sky-high comeback from bankruptcy brink
Thai Airways International revealed its anticipated completion of its ongoing restructuring saga, set to wrap up later this year, marking a remarkable turnaround since the tumultuous onset of the Covid-19 crisis in 2020.
The Bangkok-based airline, ravaged by the pandemic’s economic fallout, embarked on this arduous journey to rein in its debts and reinvent its operational strategies amidst plummeting air traffic figures.
The beacon of hope shone brighter as Thai Airways unveiled its Q1 2024 results, hinting at a promising trajectory towards profitability. Eyeing a return to the stock market, the carrier aims to reclaim its once-lost glory and pave the path for future growth.
Despite enduring the throes of bankruptcy protection in 2020, Thai Airways undertook a Herculean effort over the past four years, orchestrating a comprehensive restructuring across its entire framework.
“[The restructuring process] enabled the company to enhance its capability to generate revenue and support the growing passenger volumes stemming from the aviation industry’s recovery, thereby increasing revenue-generating efficiency for the company.”
While Q1 2024 witnessed Thai Airways maintaining profitability, the journey wasn’t devoid of turbulence. A surge in operating costs, coupled with a decline in restructuring gains, chipped away at the quarterly net profit, registering an 80% dip compared to the preceding year. However, amidst these challenges, the airline reported a commendable 11% rise in revenues, buoyed by a surge in passenger numbers, reported AeroTime.
Venturing beyond the balance sheets, Thai Airways set its sights on expansion, with plans to introduce new long-haul routes to Europe and bolster its fleet with additional Boeing and Airbus aircraft.
In related news, Thai Airways International unleashed a revamped version of its mobile application, promising a range of features across various platforms. With this latest iteration, passengers are in for a treat as they gain unprecedented control over their travel arrangements. Designed with Royal Orchid Plus (ROP) members in mind, the new application boasts a suite of functions to cater to their every need.
