TAP Air Portugal saw annual profits plummet by almost 70% as it faced a “very challenging” 2024.
The Portuguese flag carrier reported net income of €53.7 million (£44.7 million), down from €177.3 million the previous year despite a record €4.2 billion (£3.5 billion) in operating revenues.
Passenger carryings edged up by 1.6% year-on-year to 16.1 million.
But the total number of flights operated fell by 1.5% to reach 86% of pre-pandemic levels.
By the end of 2024, TAP had a “solid” liquidity position of €651.6 million (£542 million), excluding a €343 million (£286 million) third shareholder capital injection in January.
Executive chairman Luis Rodrigues said: “These results were achieved in a very challenging year, marked by a relevant increase in competition in our main markets, strong currency devaluations, operational challenges, namely in air traffic control and adverse weather events, and structural constraints, such as the aircraft limit.”
He added that 2025 will be the last year of a restructuring plan, aimed at transforming the airline into a “sustainably profitable company and one of the most attractive in the industry”.
Rodrigues said: “The 2024 results confirm TAP’s recovery trajectory started in recent years.
“For the third consecutive year, TAP posted a positive net result, supported by the increase in revenues and the stabilisation of operating results.
“In addition, the continuous increase in punctuality and regularity confirms a more robust and resilient operation, recognised by our customers through the significant increase in NPS (customer satisfaction index) compared to 2023.”