Goa-Based Regional Airline FLY91 Places $1 Billion Order for 40 ATR Aircraft

Goa-based regional airline FLY91 has placed a firm order for 40 new ATR 72-600 turboprop aircraft in a deal valued at approximately US$1 billion, marking the largest ATR aircraft order ever placed by a regional airline globally. The landmark agreement, signed in New Delhi on Thursday, also represents ATR’s largest firm order in almost a decade and underlines the growing focus on smaller cities in India’s rapidly expanding aviation market.

Deliveries are expected to begin in the second half of 2027 and continue through 2032. FLY91 currently operates six ATR 72-600 aircraft and more than 280 weekly flights, serving around a dozen Indian cities. The airline aims to build a fleet of more than 60 aircraft and use the expansion to connect more unserved and underserved destinations.

FLY91 founder, Managing Director and CEO Manoj Chacko said the airline plans to lease another six to eight aircraft before the new aircraft arrive, potentially taking its fleet to 12-14 aircraft by late 2027. The airline is also raising ₹250 crore, with 25% of the additional funding completed. FLY91 is currently debt-free and expects to achieve cash break-even by the end of the current financial year, followed by profit-and-loss break-even the following year.

The ATR 72-600, which can carry around 70-78 passengers, is designed for short-haul regional operations and offers economics suited to routes where larger narrow-body jets may not be viable. Chacko said India has more than 160 functional airports, but narrow-body aircraft serve only about 70, leaving significant scope for turboprop connectivity.

FLY91’s expansion is supported by the broader government push under UDAN, which seeks to improve connectivity to smaller cities and underserved airports. Around 98 of its weekly flights receive viability-gap funding, highlighting the importance of government support to the regional aviation model.

Civil Aviation Minister K. Rammohan Naidu, who attended the signing ceremony, said the government aims to establish 100 new airports over the next decade. He also urged ATR to explore an aircraft-manufacturing facility in India.

India’s regional airline segment includes FLY91, Star Air, Alliance Air and IndiaOne Air, while larger carriers such as IndiGo also operate ATR aircraft on regional routes. ATR, a joint venture between Airbus and Leonardo, estimates India could require 200-300 turboprop aircraft over the next decade.

FLY91’s order therefore represents more than a fleet expansion. It is a major bet on Tier-2 and Tier-3 cities, where growing demand, new airports and improved regional connectivity could shape the next phase of India’s aviation growth.