Atlantic Airways reports record passenger numbers but major financial loss

Atlantic Airways carried a record 379,000 passengers in 2025 but recorded a net loss of 57 million Danish kroner, the Faroese national broadcaster Kringvarp Føroya reports. Unexpected engine inspections on two aircraft were cited as the primary cause of the financial shortfall.

The airline’s after-tax profit in 2024 had been 27 million kroner, but last year’s results showed a 4 million kroner operating loss before depreciation, compared to a 67 million kroner profit in the previous year. Total revenue for the parent company rose slightly from 860 million kroner in 2024 to 879 million kroner in 2025.

Niels Mortensen, chair of the airline’s board, stated that engine manufacturers had required inspections “much earlier than expected,” forcing Atlantic Airways to lease replacement aircraft and reroute flights. Despite the setback, Mortensen said the results would not affect future plans, though he acknowledged that major investments—including new aircraft—would require careful financial management.

Passenger numbers grew by 10,000 compared to 2024, with 43% of travelers coming from outside the Faroe Islands. The airline’s decade-long service agreement with the Faroese government expired at the start of 2025 and has been extended by one year while negotiations for a new long-term contract continue.

Atlantic Airways also noted that its flight simulator is expected to become operational within the next few years. The current board, led by Mortensen and deputy chair Kaj Johannesen, remains in place.