Nepal Airlines Corporation (NAC), the country’s national flag carrier, has reported significant growth in passenger traffic, cargo transportation, flight operations, and revenue during the fiscal year 2025/26 compared to the previous fiscal year. According to Archana Khadka, spokesperson for Nepal Airlines, the airline recorded improvements across nearly all major operational indicators, reflecting stronger business performance and increased demand for its services.
Flight Operations and Passenger Numbers Increase
Nepal Airlines operated a total of 3,594 flights during the fiscal year 2025/26, representing an 11 percent increase compared to 3,189 flights operated in the previous fiscal year (2024/25). The airline also witnessed steady growth in passenger traffic. During the review period, it carried 613,784 passengers, up from 550,207 passengers in the previous fiscal year, an increase of approximately 10 percent. The corporation attributed the growth to improved operational performance and continued efforts to strengthen air services on its domestic and international routes.
Cargo Transportation Records Highest Growth
Cargo transportation registered the strongest performance among all operational sectors. During fiscal year 2025/26, Nepal Airlines transported 4,747,545 kilograms of cargo, compared to 3,427,577 kilograms in the previous fiscal year. The increase of 28 percent marks the highest year-on-year growth recorded by the airline across its key performance indicators. The increase reflects rising demand for air freight services and improved utilization of the airline’s cargo capacity.
Revenue Climbs Above Rs. 17.5 Billion of Nepal Airlines Corporation (NAC),
The corporation also reported a substantial increase in revenue during the fiscal year. Nepal Airlines generated Rs. 17.53 billion in revenue during fiscal year 2025/26, compared to Rs. 15.32 billion in fiscal year 2024/25. According to the airline, the growth in revenue was driven by higher passenger numbers, increased flight operations, and a significant rise in cargo transportation.
Overall Occupancy Declines Despite Strong Monthly Performance
Despite improvements in most operational areas, Nepal Airlines reported a slight decline in its annual passenger occupancy rate. The airline’s average occupancy rate decreased from 83 percent in fiscal year 2024/25 to 80 percent in fiscal year 2025/26. However, the corporation noted a strong recovery during (mid-June to mid-July). Compared to the same month last year, revenue increased by 32 percent, while the occupancy rate rose significantly from 75 percent to 85.4 percent, indicating stronger demand during the final month of the fiscal year.
Governance and Institutional Reforms Underway
Nepal Airlines said it has initiated a comprehensive governance and institutional reform campaign following the appointment of its new leadership. According to the corporation, positive results have already begun to emerge after the formation of the Board of Directors through an open competitive process and the appointment of Executive Chairman Shailesh Kumar Shrestha. The reforms have focused on improving management efficiency, strengthening accountability in performance, enhancing service delivery, and introducing better operational practices throughout the organization.
Three-Year Plan to Achieve Financial Self-Reliance
The national carrier has also launched a long-term institutional reform strategy aimed at making Nepal Airlines financially self-reliant within the next three years. The corporation said the strategy includes more effective utilization of available resources, tighter expenditure control, expansion of airline services, and improvements in operational efficiency. Looking ahead, Nepal Airlines has reaffirmed its commitment to expanding its route network, strengthening financial discipline, and establishing itself as a self-reliant, competitive, transparent, and reliable national flag carrier.
The corporation expressed confidence that the ongoing reforms and improved operational performance will contribute to enhancing service quality and ensuring the long-term sustainability of Nepal’s national airline. This version follows an international news style suitable for newspapers, tourism magazines, aviation publications, and online news portals while preserving all of the information contained in the original Nepali report.
