India's Fly91 orders 40 ATR turboprops in bet on smaller cities

Business Recorder reported that Indian regional airline Fly91 has committed to buying 40 ATR 72-600 turboprop aircraft, a deal counted among the largest individual purchases in the history of the Franco-Italian manufacturer. The airline is wagering that passenger demand will rise in smaller Indian cities. At list prices the agreement is worth roughly $1 billion, but chief executive Manoj Chacko said Fly91 obtained an undisclosed discount.

The order gives ATR a significant boost, even though the planemaker dominates the turboprop segment while depending on a limited set of countries for sales. The report links India's rise as a major growth market for regional planes to government funding for air routes serving smaller towns. Chacko told Reuters that the first aircraft will arrive in the second half of 2027, with the full batch delivered by 2032 or early 2033.

Fly91 currently flies six ATR 72-600s and intends to lease six to eight more from the open market before then, which would lift its fleet to 12 to 14 by late next year. Financing for the order is still being arranged, with talks under way with lessors and financiers while upfront payments come from the airline's own funds. Chacko said the carrier is debt free, has not yet posted an annual profit, and expects cash break-even by the close of this financial year.