India’s national air carrier Air India reported an operating loss of around Rs 4,600 crore in the previous financial year 2018-19, owing to higher oil prices and foreign exchange losses. The debt-laden aviation firm, however, expects to be operationally profitable in the current financial year 2019-20.

In the wake of tough business environment amid intense competition and higher fuel prices, the airline’s net loss stood at about Rs 8,400 crore while total revenues touched around Rs 26,400 crore in 2018-19.

In the current fiscal, the airline is hopeful of reporting an operating profit of Rs 700 to 800 crore, provided oil prices do not rise significantly and there is no steep fluctuation in foreign exchange rates.

However, the airline incurred an operating loss of Rs 175 to 200 crore in the three months ended June due to closure of Pakistan airspace for Indian carriers that resulted in higher costs and caused a daily loss of Rs 3 to 4 crore.

Air India had a loss of Rs 430 crore in the four-month period when Pakistan closed its airspace after the Balakot air strikes.