Nepal Airlines records 10% revenue growth

Nepal’s national flag carrier, Nepal Airlines Corporation (NAC), has reported a healthy 10% increase in flight revenue during the first ten months of the current fiscal year, earning NPR 14.58 billion compared to NPR 13.12 billion in the same period last year. The airline’s latest report attributes the steady financial improvement to recent leadership changes within the organisation.

Despite the positive annual trend, the airline encountered temporary turbulence due to international events. In the Nepali month of Chaitra (mid-March to mid-April), monthly revenue fell to NPR 1.44 billion from NPR 1.54 billion recorded in the same month the previous year. Officials explained that ongoing conflicts in West Asia disrupted scheduled flights to key Gulf destinations, including Qatar, Saudi Arabia, and the United Arab Emirates (UAE).

However, the carrier demonstrated strong resilience. In Baisakh (mid-April to mid-May), revenue soared to NPR 1.97 billion, a sharp jump from the NPR 1.43 billion collected in the same month last year. This rebound signals effective operational adaptation and sustained passenger demand on key international routes.

The leadership transitions within NAC have been credited with fostering greater accountability and strategic focus, contributing to the overall earnings growth. Management remains cautiously optimistic, acknowledging that external factors such as regional conflicts continue to pose risks. Nonetheless, the robust performance in Baisakh and the double-digit growth over the ten-month period suggest that NAC is on a recovery path.

Industry observers note that while Gulf routes remain vulnerable to geopolitical instability, the airline’s ability to bounce back quickly bodes well for the remaining two months of the fiscal year. NAC continues to explore route optimisation and fleet management strategies to sustain momentum and minimize future disruptions.