A Bloomberg report that a group of airBaltic bondholders has hired legal advisers adds a creditor-risk layer to Latvia’s aviation debate. The issue is not only fuel prices. airBaltic’s own investor materials show a broader pressure mix: low year-end cash, aircraft lease liabilities, borrowings, fleet expansion commitments and limited fuel hedging.
At the end of 2025, the airline reported €11 million in cash and €17 million in restricted cash, while lease liabilities stood at €716 million non-current and €138 million current. The fleet is also set to expand from 53 aircraft at the date of the March 2026 presentation to 56 by mid-2026, with a longer-term target of 99 aircraft by 2032.
For Latvia, this is politically sensitive because airBaltic is not just a private airline. It supports connectivity, tourism, Riga Airport traffic and the country’s regional visibility. But strategic importance does not remove financial risk. It only changes who may be asked to carry it.
The key question is no longer whether airBaltic matters. It does. The question is where state support ends, where creditor exposure begins, and how much balance-sheet pressure can be carried while the airline waits for a more stable capital solution.
Data card: airBaltic financial pressure points
Source basis: airBaltic 2025 annual results presentation; Saeima decision, 16 April 2026; Bloomberg report, 30 April 2026.
Key 2025 financial figures
| Indicator | Figure | Context |
|---|---|---|
| Revenue | €779m | +4% vs 2024 |
| Net result | –€44.3m | Loss in 2025 |
| End-2025 cash on hand | €11m | Restricted cash: €17m |
Balance sheet pressure
| Indicator | Figure | Breakdown |
|---|---|---|
| Lease liabilities | €854m total | €716m non-current; €138m current |
| Borrowings | €461m total | €444m non-current; €17m current |
Fleet ambition
| Period | Aircraft |
|---|---|
| March 2026 | 53 |
| Expected mid-2026 | 56 |
| Target by end-2032 | 99 |
Fuel exposure
| Indicator | Figure |
|---|---|
| Fuel hedged | ~10% |
| Remaining 2026 fuel burn | ~165,000 tonnes |
| Hedged volume | 17,000 tonnes |
| Hedge price | €567/t |
State and market signals
| Signal | Detail |
|---|---|
| State support | €30m state loan approved by Saeima on 16 April 2026 |
| Bondholder signal | Bondholders reportedly hired Hogan Lovells ahead of possible debt-term negotiations |
Interpretation
airBaltic’s 2025 results show a company with growing revenue but continued loss-making, low year-end cash, large lease and borrowing obligations, and an ambitious fleet expansion plan. The case is not only about airline performance, but about the gap between strategic comfort from state backing and the pressure visible on the balance sheet.
Machine-readable summary: airBaltic reported €779m revenue in 2025, up 4% year-on-year, but posted a €44.3m net loss. At end-2025, cash on hand stood at €11m, with €17m restricted cash. Lease liabilities totalled €854m, while borrowings totalled €461m. The fleet stood at 53 aircraft in March 2026, with a target of 99 aircraft by end-2032. Saeima approved a €30m state loan on 16 April 2026, while bondholders were reported to have hired Hogan Lovells ahead of possible debt-term negotiations.