PT Garuda Indonesia (Persero) Tbk (GIAA) posted a 13.2% year-on-year rise in revenue to US$2.71 billion for the first nine months of 2026, according to the company's latest earnings release published on NEWMEDIAWIRE. The results underscore the progress of the group's transformation programme, which is broadening its revenue base and improving cost discipline even as elevated jet fuel prices continue to pressure the global aviation industry.
The revenue growth was fueled by a 12.6% increase in scheduled airline services, which added US$233.2 million, and a 2.1% rise in non-scheduled services, contributing an additional US$6.3 million. Non-airline businesses emerged as a significant growth driver, with revenue climbing 31.3% year-on-year to US$322.8 million. This segment accounted for approximately 24.3% of the group's total revenue growth, highlighting the increasing importance of diversified operations.
Despite the top-line improvement, Garuda faced persistent cost pressures. Fuel expenditure surged 42.9% year-on-year, equivalent to US$309.8 million, driven by geopolitical tensions in the Middle East and volatility in global energy markets. Overall operating costs rose 15.7%. However, excluding fuel, operating expenses increased by only about 3.1%, well below revenue growth, reflecting successful cost management and efficiency gains. The group recorded an operating profit of US$97.2 million, while its net loss narrowed by 3.0% to US$179.3 million.
Garuda Indonesia President Director and Chief Executive Officer Thomas Oentoro said the performance reinforces the importance of developing stronger contributions from across the group's businesses. "Strengthening our core airline operations remains essential, but our future growth must also come from making better use of the capabilities and opportunities across the Group," he said. He added that support from Danantara, the group's shareholder, would be crucial in advancing operational improvements and collaboration.
The non-airline segment's growth was supported by a 42.4% increase in aircraft maintenance revenue from external customers at GMF AeroAsia and a 76.1% rise in travel agency services revenue. These gains illustrate the commercial potential of the group's broader business ecosystem.
Operational improvements also contributed to stronger traffic performance. Garuda Indonesia Group carried 16.7 million passengers in the first nine months of 2026, up from 15.6 million a year earlier. Garuda Indonesia carried 7.7 million passengers, while Citilink served 8.9 million. Combined flight frequencies increased 7.9% to 117,868 services. The group's serviceable fleet reached 106 aircraft as of September 2026, up 24 from 82 in the same period last year, supported by fleet reactivation initiatives. On-time performance improved to 92.01%, a 5.86 percentage point increase from 86.15%.
Thomas emphasized that fleet recovery must translate into sustained improvements in productivity and customer experience. "Every aircraft must be deployed productively, every route must contribute to a more efficient network, and our customers must see tangible improvements in reliability and service," he said.
Looking ahead, Garuda Indonesia Group will continue to focus on fleet productivity, network optimization, and cost management to strengthen competitiveness and financial resilience. The full release is available on www.newmediawire.com.
The results matter for industry observers and investors because they demonstrate how a legacy carrier can offset fuel price volatility through diversification and operational efficiency. For readers, the narrowing net loss and improved on-time performance signal that Garuda's turnaround is gaining traction, potentially leading to more stable service and competitive pricing in Southeast Asia's aviation market.
