Afcom plans to double revenue as fleet expands to nine aircraft
FY26 revenue surged 144% to ₹587.72 cr; profit up 230% to ₹121.90 cr. Fleet to grow from 3 to 9 aircraft, including Boeing 777s, via ₹200 cr each preferential and QIP. MRO in Q1 FY27; exploring Pacific JV.
— 1 earlier story on Afcom Holdings Ltd. →What's new
- Revenue surged 144% to ₹587.72 crore; net profit up 230% to ₹121.90 crore.
- Fleet to grow from 3 to 9 aircraft by H2 CY2027, including two Boeing 777s.
- Each 777 could generate ₹75 cr/month; funded via completed ₹200 cr preferential and ₹200 cr QIP.
Why this matters
Afcom is a small-cap airline with utilisation rates above industry benchmarks and a fully funded expansion plan. The fleet quadrupling and revenue doubling guidance signal confidence, but execution hinges on delivering aircraft on time and sustaining geopolitical demand.
What we're watching
- MRO facility launch in Q1 FY27.
- Nauru Air joint venture for Pacific operations.
- Fleet delivery timelines and utilisation rates.
The full read
Afcom Holdings delivered a breakout year: FY26 revenue jumped 144% to ₹587.72 crore and net profit surged 230% to ₹121.90 crore, driven by sustained geopolitical cargo demand and 81.42% utilisation. But the real story is what comes next. The airline has already raised ₹200 crore via a preferential allotment and ₹200 crore via a QIP — no debt — to fund a fleet expansion from three to nine aircraft by the second half of calendar 2027. Two of those will be Boeing 777 wide-body freighters, each capable of generating ₹75 crore a month in revenue, roughly three times a current 737-800. Management expects revenue to at least double from the FY26 base as the fleet grows. On top of that, Afcom plans an MRO facility in Q1 FY27 and is exploring a Pacific JV with Nauru Air. The funding is locked in, the demand is there, and the utilisation data suggests Afcom can squeeze more out of its assets than peers. The pieces are in place; delivery is what counts.
Questions answered
- How does Afcom plan to fund its fleet expansion?
- The expansion is funded entirely through a ₹200 crore preferential allotment and a ₹200 crore qualified institutional placement, both already completed. No debt is planned for the aircraft acquisitions.
- What revenue can the Boeing 777 generate compared to current aircraft?
- Management estimates each 777 can generate roughly ₹75 crore per month, about three times the monthly revenue of a current 737-800. This is a conservative estimate.
- What is Afcom's current utilisation rate and how does it compare?
- Afcom reported an utilisation rate of 81.42%, which management says exceeds industry benchmarks. This contributed to the strong FY26 performance.
- What is the Nauru Air joint venture about?
- Afcom is exploring a joint venture with Nauru Air Corporation to operate in the Pacific region. It is at an exploratory stage with no further details disclosed yet.
- When will the MRO facility come up?
- The company plans to launch a maintenance facility in the first quarter of fiscal 2027. It is part of a strategic move to support the growing fleet.
Afcom Holdings Ltd.
Latest quarter · Mar 2026
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All notes on AFCOM →- 12 Jun 2026 · 2:16 PM IST Afcom plans to double revenue as fleet expands to nine aircraft
- 19d ago Afcom targets doubling revenue as fleet grows to nine by H2 2027