Aerolíneas Argentinas Posts Profit in 16 Years After $8 Billion in State Support

Aerolíneas Argentinas has reported its first annual profit since the state took control of the airline in 2008. The 2024 accounts show a net profit of about 129.1 million dollars and an operating profit before interest and taxes of 56.6 million dollars.

For the first time in 16 years, the airline said it covered its costs without transfers from the national Treasury. This marks a sharp reversal from 2023, when Aerolíneas lost 291.7 million dollars and posted an operating deficit of 390 million dollars.

Between 2008 and 2023, the airline required an estimated 8 billion dollars in state funding to stay afloat, averaging 400 million dollars in annual operating losses.

Executives credit stricter cost control for the shift. The company cancelled unprofitable routes, cut excess staff, and reduced management layers.

About 1,600 employees left through voluntary retirement, lowering the ratio of staff to aircraft to the smallest in 15 years. Fuel prices also eased compared with the year before, helping to stabilize costs.

The Ministry of Economy has approved Aerolíneas’ 2025 Action Plan, which projects an operating surplus of 45 million dollars and again expects no Treasury support.

If the airline meets that target, it would mark the first full year since re-nationalization that Aerolíneas operates without taxpayer money. The airline still dominates Argentina’s domestic market but faces competition.

Its share dropped from 62 percent in mid-2024 to 58 percent in June 2025, while passenger loads held at a strong 83 percent. Low-cost carriers continue to expand, pressuring prices and routes.

The story behind these numbers is about more than one year of profit. For years, Aerolíneas symbolized the strain of subsidized state companies on Argentina’s finances.

Now, its balance sheet shows what leaner management and market discipline can deliver. Whether this is a turning point or a temporary exception will shape both Argentina’s aviation market and its public budget in the years ahead.