Bangkok, Thailand – Thai Airways International Public Company Limited (THAI) has announced its financial performance for 2024, reporting an operating profit of over 40 billion THB, marking a 3.2% increase from 2023. Despite recording a net loss of 26.9 billion THB, the loss was primarily a one-time accounting adjustment and does not impact the airline’s exit from its rehabilitation plan.
At a press conference on the airline’s financial results for the fiscal year ending December 31, 2024, Dr. Piyasvasti Amranand, Chairman of the Rehabilitation Plan Administrators, stated that Thai Airways generated total revenue of 187.9 billion THB in 2024, reflecting a 16.7% increase compared to 2023. The airline’s operating profit before financial costs and excluding one-time adjustments stood at 41.5 billion THB, a 3.2% rise from the previous year.
“In 2024, we carried approximately 16 million passengers, marking a 17% increase from 2023. However, this figure remains lower than our pre-pandemic level in 2019 when we operated 103 aircraft. Currently, we have a fleet of 79 aircraft, but our 2024 revenue surpassed that of 2019 due to higher ticket prices driven by supply and demand dynamics,” Dr. Piyasvasti stated.
Financial Stability and Exit from Rehabilitation Plan
Thai Airways achieved an EBIT Margin of 22.1% in 2024, exceeding rehabilitation plan estimates. Although the company recorded a net loss of 26.9 billion THB, this was a result of debt-to-equity conversions amounting to 45.2 billion THB in November 2024. The majority of this accounting loss (40.5 billion THB) stemmed from creditors exercising their debt conversion rights at a lower price than fair market value.
These adjustments are purely accounting-related and do not affect the airline’s financial stability. After the debt restructuring, Thai Airways’ shareholders’ equity turned positive, rising from a negative 43 billion THB at the end of 2023 to a surplus of 45.5 billion THB in 2024.
Dr. Piyasvasti confirmed that the airline has met three out of four key conditions necessary for exiting its rehabilitation plan:
- Capital Increase Registration – Thai Airways successfully completed its capital restructuring on December 14, 2023.
- Adherence to the Rehabilitation Plan – The company has not defaulted on any debt payments since entering the rehabilitation process.
- EBITDA Benchmark Achievement – The airline reported an EBITDA (after aircraft lease payments) of 41.8 billion THB, surpassing the 20 billion THB requirement, while maintaining positive shareholders’ equity.
The final step involves appointing a new board of directors, which will be presented for approval at the Extraordinary General Meeting (EGM) on April 18, 2025.
New Thai Airways Board of Directors
The proposed board will consist of 11-12 members, including three current members:
- Dr. Piyasvasti Amranand
- Chansin Treenuchagron
- Air Chief Marshal Amnaj Chiramanee
Additionally, six new board nominees include:
- Lavaron Sangsnit – Permanent Secretary, Ministry of Finance
- Dr. Kulaya Tantitemit – Director-General, Excise Department
- Chakree Bumroongwong
- Police General Thatchai Pitanilabut
- Chatchai Rojanaratnangkul
- Chai Iamsiri
Three independent directors are also proposed:
- Napakorn Thanasuwankasem
- Yanyong Detphiratmongkol
- Samrit Samniang
Following the shareholders’ approval, Thai Airways will file a petition with the Central Bankruptcy Court to exit rehabilitation in April, with a court ruling expected in May. The airline anticipates relisting THAI stock on the Stock Exchange of Thailand (SET) by June 2025.
Par Value Adjustment and Dividend Potential
On February 25, 2025, the Rehabilitation Plan Administrators approved reducing the par value of Thai Airways’ shares from 10 THB to 1.30 THB. This move aims to offset the airline’s accumulated accounting losses, bringing them down from 104 billion THB to 180 million THB.
If the company records a profit in Q1 2025, Thai Airways anticipates positive retained earnings, opening the possibility of dividend payments in the future for shareholders and creditors who converted debt into equity.
Future Growth and Fleet Expansion
CEO Chai Iamsiri projects Thai Airways’ revenue to exceed 2024 figures. In 2025, the airline expects to take delivery of nine additional aircraft:
- 7 Airbus A330s
- 1 Airbus A321
- 1 Airbus A330-300
Deliveries will commence in late Q2 2025, bringing the total fleet size to 87 aircraft by year-end. With this expansion, Thai Airways expects a passenger increase of at least 2% in 2025, reaching approximately 16.5 million passengers. The airline aims to maintain its 2024 EBITDA level of 41.8 billion THB and keep EBIT Margin above 22.1%.
Strategically, the airline plans to increase network-based ticket sales to 40%, while reducing point-to-point sales to 60%, ensuring higher revenue generation.
Market Outlook and Risk Management
Despite challenges in the global aviation sector due to aircraft supply shortages and spare part constraints, Thai Airways is confident in its competitive position. The airline has hedged fuel price risks, which constitute 40% of its total costs, and has implemented partial foreign exchange risk hedging to mitigate financial volatility.
Regarding concerns over reduced Chinese tourist arrivals, CEO Chai noted that Chinese travelers contribute only 2-3% of total revenue, down from a peak of 5%. To compensate, Thai Airways is expanding in high-demand markets such as India and Pakistan. The airline currently serves 10 Indian cities and plans to increase flights on the Mumbai route from 11 to 14 per week. Additionally, Thai Airways will boost flights on European and Australian routes, particularly to Munich.
Strategic MRO Investment in EEC
Thai Airways is advancing its investment plans for the U-Tapao Aircraft Maintenance, Repair, and Overhaul (MRO) Center in Thailand’s Eastern Economic Corridor (EEC). The company is set to sign a Memorandum of Understanding (MOU) with Bangkok Airways (BA) for a joint feasibility study and potential partnership in this 10-billion-THB project.
If the partnership is finalized and approved by the EEC authorities, construction could commence within 2025.
About Thai Airways
Thai Airways International Public Company Limited (THAI) is Thailand’s national carrier, renowned for its premium service and extensive global network. The airline connects Thailand with key destinations worldwide, providing passengers with exceptional in-flight experiences, world-class hospitality, and award-winning services.
For the latest updates and flight bookings, visit www.thaiairways.com.
