Garuda Indonesia Reports Rp5.42 Trillion Loss Despite Rp23.67 Trillion Injection from Danantara
PT Garuda Indonesia (GIAA) continues to record a significant loss for the 2025 fiscal year amounting to US$319.39 million, equivalent to Rp5.42 trillion (assuming an exchange rate of Rp16,969 per US dollar), despite receiving a capital injection of Rp23.67 trillion from Badan Pengelola Investasi Daya Anagata Nusantara (BPI Danantara).
Garuda Indonesia’s President Director, Glenny Kairupan, revealed that the company’s consolidated business revenue for 2025 totalled US$3.22 billion, a 5.9% decrease compared to the previous year.
“This decline occurred alongside the operational consolidation phase being implemented to strengthen the company’s business fundamentals,” he stated in an official release.
Additionally, the performance of the Garuda Indonesia Group was pressured by limited production capacity, particularly in the first half of 2025. This situation was triggered by a large number of aircraft that remained unserviceable while awaiting scheduled maintenance. Furthermore, losses were influenced by rupiah exchange rate fluctuations and increasing fixed costs amid intensified fleet recovery programmes.
Amid these challenges, Garuda Indonesia continues to optimise the number of operable aircraft. By the end of 2025, the number of serviceable aircraft had increased to at least 99 planes, up from around 84 in June 2025. Meanwhile, 43 aircraft are still undergoing maintenance. Nevertheless, the total number of passengers for the year was 21.2 million, a 10.5% decline from the previous year.
Performance pressures in 2025 were also affected by a decrease in passenger yield, rupiah depreciation, and global aviation supply chain challenges impacting maintenance costs and processes.
“Nevertheless, Garuda Indonesia is optimistic that production capacity and operational performance will improve gradually towards a more solid recovery phase,” Glenny said.
From a financial perspective, funding support through shareholder loans and capital injections from Danantara in 2025 has improved the company’s equity position. As of 31 December 2025, Garuda Indonesia’s equity was recorded at a positive US$91.9 million, a significant increase from the negative US$1.35 billion position in the previous year.
The total funding support of approximately Rp23.7 trillion was used to accelerate fleet maintenance and reactivation programmes, as well as to settle Citilink’s obligations to Pertamina. Of this amount, around 64% or Rp15 trillion was allocated to Citilink, while Garuda Indonesia received approximately Rp8.7 trillion for fleet maintenance needs, which will continue to be optimised until the end of 2026.
Alongside this support, Garuda Indonesia’s cash and cash equivalents position increased significantly to US$943.4 million at the end of 2025, compared to US$219.1 million in the previous year. This increase reflects improved liquidity, which serves as an important foundation for maintaining operational stability and supporting the ongoing business transformation.
The funding support from Danantara is said to have begun impacting operational recovery in the second half of 2025, marked by the completion of over 100 maintenance activities to enhance production capacity.
Looking ahead, Garuda Indonesia targets operating at least 68 serviceable aircraft by the end of 2026, while Citilink aims for 50 aircraft.
Fleet optimisation efforts in 2026 will be strengthened through the acceleration of various strategic maintenance initiatives, including heavy maintenance airframe checks on Boeing 737-800NG, Boeing 777-300ER, and Airbus A330 fleets. Additionally, the company is conducting overhauls and shop visits for key components such as engines, Auxiliary Power Units (APUs), and landing gear to ensure optimal fleet performance.