Tata Sons Chairman N Chandrasekaran believes that the transformation of Air India is a “long journey” spanning five to ten years. He noted that the domestic carrier continued to face global supply chain disruptions, legacy operational challenges and large-scale organisational changes — while adding that significant progress had been made since the company took over in 2022. The remarks came mere weeks after the airline racked up a wider-than-expected annual loss of more than ₹22,000 crore in FY26 amid a series of well-publicised challenges.
In his message in the Tata Sons Annual Report for 2025-26, Chandrasekaran said meaningful progress has already been made since the Tata Group regained control of the airline in January 2022, but rebuilding a global airline requires sustained investment and time.
“Given where it began, Air India’s transformation must be seen as a five- to ten-year journey, considering the years-long supply chain disruptions in key components, the need to overhaul legacy systems, culture and fleet, and the creation of a large cadre of technical and airline professionals,” he reiterated.
Transformation driven by fleet renewal, service upgrades and workforce development
Chandrasekaran, who is also the Chairman of Air India, said the airline’s transformation covers fleet modernisation, network expansion, customer service improvements, technology upgrades and the creation of a strong talent pool.
“Rebuilding Air India is a long journey: fleet renewal, training, service transformation, network expansion. Every great airline in history was built over decades, not quarters,” he said, according to ANI.
Highlighting the scale of the task, he added, “Given where it began, Air India’s transformation must be seen as a five- to ten-year journey, considering the years-long supply chain disruptions in key components, the need to overhaul legacy systems, culture and fleet, and the creation of a large cadre of technical and airline professionals.”
According to Chandrasekaran, Air India’s narrow-body aircraft operating on domestic routes have already been refurbished and are receiving encouraging customer feedback. Refurbishment of the airline’s wide-body fleet is expected to be completed by the end of FY28.
He also said the airline’s Net Promoter Score (NPS) has improved significantly, rising from -35 in FY23 to +42 in June 2026, indicating a marked improvement in customer satisfaction.
FY26 brought multiple challenges for Air India
Chandrasekaran described 2025-26 as one of the airline’s most difficult years due to a combination of external factors.
“Air space closures; West Asia conflict-driven fuel price hikes and foreign exchange fluctuations; and the crash of AI171 made it the most challenging year for Air India. At every stage, Air India’s teams responded with resilience and adaptability,” he said, according to ANI.
Despite these challenges, he reiterated the airline’s long-term vision of becoming a world-class flag carrier for India.
“Our commitment is to give India a carrier that connects it to the world with pride, creates hundreds of thousands of jobs across aviation, tourism and logistics, and makes India a global aviation hub rather than a market others fly through,” Chandrasekaran said, according to ANI.
Looking ahead, he also outlined a broader vision for India’s aviation sector.
“A young Indian will board an Air India plane, built with Indian components, chips fabricated on Indian soil, protected by defence systems built in India.”
According to the annual report, Air India’s revenue declined to Rs 71,870 crore in FY26 from Rs 78,636 crore in the previous financial year. The airline reported a loss after tax of Rs 15,367.75 crore, while Air India Express posted a loss of Rs 6,767.29 crore during the same period. The Air India Group comprises Air India and Air India Express.