airBaltic may postpone its planned IPO until 2026, with its first-quarter report indicating that prospects for a 2025 listing have diminished significantly.
The airline has acknowledged the potential need for additional funds from the Latvian government if economic conditions worsen, emphasising careful budget management.
Engine issues with Pratt & Whitney PW1000 have left approximately a quarter of the A220-300 fleet grounded, reflecting a ten-plane increase from the previous year.
To address grounded jets, airBaltic has entered into a wet-lease agreement with Carpatair for three aircraft, providing operational flexibility for the Summer 2025 season.
The airline’s ACMI contracts have generated a considerable revenue increase, with the number of wet-leased A220-300s rising and new crew bases established across European cities.
The company shared: “If market conditions do not improve compared to Q1, or if fuel prices rise significantly or engine shortages worsen, the airline’s financial performance and liquidity may deteriorate. We expect the engine issues to persist in 2025 and 2026. We wet-leased the jets as a contingency due to the A220 engine issues.”
