India’s Jet eyes profit by 2017 with boost from Etihad

about delivery,” Jet Airways’ new chief executive Cramer Ball told reporters in New Delhi.

“It’s a three-year plan — 2015 we will reduce losses, 2016 we will consolidate and 2017 we’ll have profitability,” he said.

Ball was speaking at the airline’s first news conference with Etihad since India cleared in May the fastgrowing Abu Dhabi airline’s purchase of a 24-percent stake in the Indian carrier for 21 billion rupees ($330 million).

Jet’s shares jumped over five percent on the turnaround plan before retreating slightly to trade up four percent at 266.35 rupees.

Ball, an Australian, said Jet was already profitable on international routes which contribute 43 percent of revenues, a figure he projected would rise to 63 percent by 2015.

All major Indian airlines, except leading carrier IndiGo, have been haemorrhaging money but analysts say the sector has a brighter future longer-term thanks to a fast-growing growing middle class.

India’s carriers lost a total $1.3 billion in the financial year to March, the Centre for Asia Pacific Aviation consultancy calculates.

Jet’s net loss in the last financial year widened dramatically to 41.3 billion rupees from a 7.8-billion loss the previous year, as it cleaned up its balance sheet and took a one-off charge on its low-cost carrier Jetlite. (AFP)