CEO's 'ambitious' target: Bamboo Airways to break even in 2025

Speaking at the company’s annual general meeting Wednesday, he said: "2024 will be the last year we record losses."

"The financial burden has been considerably reduced, and the airline no longer has debts from aircraft lease." Bamboo Airways plans to list its shares on a stock exchange in the next three years, he said.

But these are "ambitious targets" based on the assumption market conditions would be favorable, he said.

The carrier saw revenues rise by 14% last year to VND12.4 trillion (US$489 million) and losses fall by 80% to VND34 billion. But it had a challenging year otherwise due to major changes in leadership as it went through a restructure.

There were times when it faced the risk of closure as its partners stopped providing services due to large overdue debts. It had to cease flying overseas and focused its resources on high-demand domestic routes.

It now operates eight narrow-body jets and eyes revenues of VND4.85 trillion this year and expects post-tax loss to be VND1.38 trillion. But if the cost of restructuring is excluded, operational losses are forecast to be around VND500 billion.

The airline needs VND2.27 trillion in the short term to pay debts and for engine maintenance. It is looking for funding from credit organizations both in Vietnam and abroad.

Shareholders have also given approval for its management to look for new investors. Bamboo Airways plans to expand its fleet to 12 by the end of this year and 18 next year.