Prime Minister Andris Kulbergs (AS) will meet with the management of the Latvian national airline “airBaltic” on Monday, June 15, LETA agency informed “airBaltic”.
Several issues are planned to be discussed during the meeting airlines current affairs, including the revised business plan.
“airBaltic” Chairman of the board Andrejs Martinov previously told LETA agency that the full content of the business plan will be available only to the company’s board and board, as it contains a “serious commercial secret”, how “airBaltic” plans to earn money and conquer additional market shares in the coming years.
“We will try to find a compromise between the confidentiality resulting from a commercial secret and the public interest in receiving such an explanation. It will be a difficult task,” he emphasized Martinov.
It has already been reported that the “airBaltic” concern losses this year in the first quarter was 70.064 million euros, which is 2.4 times more than in the first quarter of 2025. On the other hand, the turnover of “airBaltic” group increased by 12.3% and was 149.086 million euros.
“airBaltic” representatives explained that the amount of the airline’s losses in the first quarter was affected by fluctuations in foreign exchange rates, financing-related costsreduced commercial support and continued upward cost pressures in several categories.
The turnover of “airBaltic” concern last year, compared to 2024, increased by 4.2% and was 779.344 million euros. On the other hand, the loss of the “airBaltic” group last year was 44.337 million euros, which is 2.7 times less than in 2024.
The airline carried a total of 5.2 million passengers in 2025, which is 1% more than in 2024.
Last summer, the German national airline Lufthansa became the shareholder of “airBaltic”. Currently, the Latvian state owns 88.37% of the shares of “airBaltic”, “Lufthansa” – 10%, the company “Aircraft Leasing 1” of financial investor, Danish businessman Lars Tūsen – 1.62%, and 0.01% – others. The company’s share capital is 41.819 million euros.
After the initial public offering (IPO) of “airBaltic” shares, the size of Lufthansa’s participation will be determined by the potential IPO market price. The deal also provides that Lufthansa will own no less than 5% of airBaltic’s capital after the potential IPO. On August 30, 2024, the Latvian government agreed that the state should retain at least 25% plus one share in the capital of the company after the IPO of “airBaltic”.
Last August, the government decided that Latvia, like Lufthansa, would make a co-investment of 14 million euros in airBaltic before the potential IPO.
Taking into account the financial results of 2025 and the market situation, “airBaltic” has stopped the possible IPO and currently does not consider it a potential source of capital in 2026, according to the “airBaltic” annual report.
The report notes that despite the expected improvement in operational and commercial performance, the airline will operate with negative free cash flow in 2026, and based on current forecasts, management expects that to finance operations in 2026/2027. an additional cash injection of 100 to 150 million euros will be required for the winter season of 2018.
