Indian Regional Carrier FLY91 Places $1 Billion Firm Order for 40 ATR 72-600 Turboprops

On September 3, Goa-based regional carrier FLY91 signed a $1 billion agreement for 40 ATR 72-600 turboprops, a transaction that secures the aircraft pipeline for a ten-fold expansion of its fleet. The order, finalized at Udaan Bhawan in New Delhi, marks the largest firm commitment placed by a regional airline in the European manufacturer's history.[1][2][3]

Officially registered as Just Udo Aviation, FLY91 launched commercial operations in March 2024 and currently operates six leased ATR 72-600s. The carrier flies approximately 280 weekly services to 13 destinations, including Bengaluru, Hyderabad, Pune, and Agatti in the Lakshadweep Islands. The new order shifts the airline from relying entirely on secondary-market leases to a direct-purchase model.[2][3]

Deliveries of the 40 twin-engine turboprops are scheduled to begin in the second half of 2027 and run through 2032. Because the current six aircraft are leased from Dubai Aerospace Enterprise and TrueNoord, the new airframes will be entirely additive. FLY91 plans to lease another six to eight aircraft before the new deliveries begin, aiming to build a total fleet of more than 60 aircraft within five years.[2][3][4]

The direct order provides the carrier with a fixed delivery schedule to anchor its route and capacity planning. "When we started off, we were dependent on the secondary market to acquire aircraft on lease. Now we have complete control over when the aircraft are going to be delivered," FLY91 founder and Chief Executive Officer Manoj Chacko said. "So we can plan our entire strategy. We know exactly how we grow, when we'll grow, our funding requirements, all of those things."[2]

The scale of the $1 billion investment rests on the premise that India's next phase of aviation growth will occur outside its congested metropolitan hubs. India has more than 160 operational airports, but narrowbody jets regularly serve only about 70 of them. FLY91 is targeting thinner regional routes where passenger volumes cannot sustain a 180-seat Airbus A320 but can fill a 70-seat turboprop.[2][3]

This strategy aligns with the Indian government's UDAN regional connectivity scheme, which provides viability-gap funding for operators flying to underserved airports. Civil Aviation Minister Kinjarapu Ram Mohan Naidu, who attended the signing ceremony, noted that the government has committed ₹28,840 crore under the Modified UDAN program to develop 100 airports from unserved airstrips. "Regional connectivity is a fundamental pillar of India's aviation growth story, and bridging smaller cities with major economic hubs remains a national priority," Naidu said.[1][2][4]

For the Airbus-Leonardo joint venture ATR, the FLY91 deal represents its largest firm order in almost a decade, surpassed only by IndiGo's 2017 commitment for 50 aircraft. The 40-airframe agreement pushes ATR's 2026 order intake to 54 aircraft, already exceeding the 50 net orders the manufacturer recorded for the entirety of 2025.[2][3][4]

Around 70 ATR aircraft currently operate in India, meaning this single order will increase the country's installed fleet by more than 50 percent. ATR Chief Executive Officer Nathalie Tarnaud Laude characterized the agreement as a validation of the turboprop's operating economics on thinner routes. "It's a big order in India today, and we are very happy because we believe that we have a big ambition in India, and this is another step of this ambition," Laude said.[1][2]

The manufacturer's internal data suggests massive untapped potential in the domestic market. According to ATR's Mobility Monitor, of the roughly 4.6 billion intercity journeys made in India each year, only about 3 percent are currently flown. More than 90 percent of those journeys cover distances under 400 nautical miles, a range profile specifically suited to turboprop efficiency.[2][3]

Financing for the 40-aircraft purchase remains under negotiation, with FLY91 currently funding initial payments from its own resources while engaging lessors and financiers. The airline, which has raised $26.3 million to date and is seeking an equal amount in additional funding, expects to reach cash break-even by the end of the current financial year.[2]