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Air India seeks more wide-body jets, sees profitability 'very soon,' CEO says

Air India CEO Tewolde Gebremariam said the airline wants to order more wide-body jets to grow international passenger traffic. He said the Tata Group-owned carrier would return to profitability very soon. Air India has held talks with Boeing and Airbus.

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What happened

Air India CEO Tewolde Gebremariam said the airline wants to order more wide-body jets to grow international passenger traffic. He said the Tata Group-owned carrier would return to profitability very soon. Air India has held talks with Boeing and Airbus.

Confirmed

Global impact / market context

More wide-body jets mean more planes for long flights, which can add international routes and passenger revenue. But buying aircraft raises capital spending and future costs, so returning to profit depends on filling those planes and replacing older, less efficient jets.

Analyst inference

Air India is spending billions on fleet renewal, cabin upgrades and network expansion after Tata Group ownership began in 2022. Talks with Boeing and Airbus show planemakers could win orders, while high operating costs and airspace restrictions pressure the airline's path to profit.

Analyst inference

What to watch

  1. Whether Air India finalizes talks with Boeing and Airbus and places a larger wide-body order, since no agreement or amount has been announced. Confirmed
  2. Watch the airline's progress toward profitability, which the CEO described as coming very soon, and whether higher operating costs and disruptions delay that goal. Proposed
  3. Track how fleet renewal affects capital spending and cash available, because newer planes may cut the high cost of operating older wide-body jets. Analyst inference

Evidence

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