{
    "success": true,
    "data": {
        "id": 1642221,
        "msgid": "danantara-states-garuda-indonesias-performance-to-begin-improving-in-early-2026-following-capital-injection-1774810238",
        "date": "2026-03-29 23:03:38",
        "title": "Danantara States Garuda Indonesia's Performance to Begin Improving in Early 2026 Following Capital Injection",
        "author": " ",
        "source": "GALERT",
        "tags": "",
        "topic": "Business",
        "summary": "Indonesia's Danantara Investment Management Body has affirmed that PT Garuda Indonesia's performance will start to show improvement in early 2026, thanks to a capital injection at the end of 2025 aimed at addressing operational challenges such as grounded aircraft and high maintenance costs. The airline recorded a net loss of US$319.39 million in 2025, but positive signals are emerging, particularly from its subsidiary Citilink in the first quarter of 2026. This intervention, including Rp23.67 trillion in funding, is expected to bolster Garuda's transformation, enhance competitiveness in the aviation sector, and support overall recovery.",
        "content": "<p>Indonesia\u2019s Investment Management Agency (BPI) Danantara has\nemphasised that improvements in the performance of PT Garuda Indonesia\nTbk (GIAA) will become evident in early 2026, following the impact of\ninterventions in the form of capital injections carried out at the end\nof 2025. Chief Operating Officer (COO) of Danantara and Head of SOE\nHolding Dony Oskaria stated that the performance pressures reflected in\nthe 2025 financial reports represent the situation prior to the\ninterventions taking full effect. \u201cThe problems recorded today pertain\nto 2025 revenues. The interventions we are undertaking are only at the\nend of the year. Their impact will start to be seen in the first and\nsecond quarters of 2026,\u201d Dony said in Jakarta on Sunday (29\/3). He\nexplained that one of the main factors pressuring Garuda\u2019s performance\nthroughout 2025 was the high number of grounded aircraft, which\ncontinued to incur costs, particularly from leasing. Additionally,\nchallenges arose from aircraft maintenance, repair, and overhaul (MRO)\naspects that required significant time and expense. \u201cBefore the\nintervention, the number of grounded aircraft was quite substantial. Now\nit has started to decrease, and some have returned to operation,\nalthough not yet fully optimal,\u201d he said. Despite still facing several\nchallenges, Dony assured that recovery signals are beginning to appear\nin 2026. One indicator is the positive performance shown by Garuda\u2019s\nsubsidiary, Citilink, in the first quarter of 2026. According to him,\nthis serves as an early indication that the transformation efforts are\nstarting to yield results for the Garuda Indonesia group as a whole. \u201cWe\nstill have much homework to do. Improvement cannot rely solely on\ncapital injections but must be accompanied by comprehensive\ntransformation,\u201d he stressed. Meanwhile, Garuda Indonesia still recorded\nperformance pressures throughout 2025, with a net loss of US$319.39\nmillion. Previously, Garuda Indonesia\u2019s President Director Glenny H.\nKairupan stated that the additional capital of Rp23.67 trillion from PT\nDanantara Asset Management (DAM) serves as a crucial boost in\nstrengthening the company\u2019s business transformation. Of the total\nadditional capital, approximately Rp8.7 trillion or 37 percent is\nallocated for working capital needs, including aircraft maintenance and\nservice improvements. Meanwhile, Rp14.9 trillion or 63 percent is used\nto strengthen Citilink\u2019s operations, including settling fuel payment\nobligations to Pertamina for the period 2019 to 2021. With these\nrestructuring steps and funding support, Garuda Indonesia is expected to\naccelerate the recovery of its performance and enhance its\ncompetitiveness in the national and global aviation industry.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/danantara-states-garuda-indonesias-performance-to-begin-improving-in-early-2026-following-capital-injection-1774810238",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}