TAP first-half loss widens to €99.2 million

TAP posted a net loss of €99.2 million in the first half of 2026, 40% worse than a year earlier, as a sharp rise in fuel costs outweighed higher revenue and passenger numbers. The result matters as Portugal advances the privatisation of up to 49.99% of the flag carrier.

The airline said ticket revenue rose 4.4% to €1.83 billion, helping lift total operating revenue 4.3% to €2.04 billion. TAP carried 8.2 million passengers in the January-June period, up 4.2%, and operated 57,500 flights. But fuel costs increased 18.7% in the semester, which the company linked to the war in the Middle East. Recurring EBITDA reached €181.9 million, while recurring EBIT was negative €83.7 million.

In the second quarter alone, TAP reported a net loss of €59.3 million, compared with a profit of €37.5 million a year earlier. Operating revenue was broadly flat at €1.13 billion. TAP said the deterioration mainly reflected higher fuel costs, partly offset by positive foreign-exchange effects and a positive tax effect.

Chief executive Luís Rodrigues said the rise in jet fuel prices had put significant pressure on second-quarter performance, while revenue mitigation measures tend to take effect more gradually because much of the quarter’s sales had already been booked. TAP also said booking trends remain resilient and that it expects the fuel price impact to continue to be managed through active revenue management, hedging and cost discipline.

The company said it strengthened its financial position during the half year by completing a €350 million senior notes issue and ended June with cash and cash equivalents of €1.22 billion. The results come as state holding company Parpública is due to deliver a report to the government on binding offers from Air France-KLM and Lufthansa for 44.9% of TAP, in the next step of the privatisation process.

Originally published at Eco.pt