EXCLUSIVE
FLY91 is a pure play regional airline headquartered in Goa, that strives to enhance air connectivity across tier 2 and tier 3 cities in India. Founded by industry veterans and backed by professional funding, FLY91 is committed to enhance last mile air connectivity and will connect over 50 cities across India in the next five years. Rohit Goel of SP’s AirBuz caught up with Manoj Chacko, Managing Director and Chief Executive Officer, FLY91 to know more about their current operations, future plans and his vision for the airline.
Rohit Goel (Goel): Many congratulations on successfully starting FLY91. How easy or difficult was it for you to start the airline? From raising capital to getting approvals, staff, aircraft, etc.
Manoj Chacko (Chacko): A few years ago, we embarked on a fundraising journey with a clear vision in mind. Before commencing operations, we ensured that we raised adequate capital, around $25 million. This has positioned us as one of the very few regional airlines globally to secure such a significant amount of funding pre-launch. We did this to ensure we are financially robust and capable of executing our plans effectively. With this strong foundation, we are targeting breakeven by the second year of operations. We at FLY91 also put together a very strong and seasoned leadership team. The licensing process was extremely smooth and handled very efficiently by the concerned authorities.
There are two critical factors that drive success in aviation. The first is achieving the right average yield, as load factors are rarely an issue in a market like India. The second, and arguably more important, is maintaining a competitive unit cost, as cost leadership is the cornerstone of success in this industry. It’s essential to keep our cost structure lean and efficient while focusing on routes that deliver optimal yields. If we strike the right balance between cost management and route profitability, success and profitability will naturally follow.
Ultimately, in aviation, it’s the trip cost that matters most. As long as trip revenue exceeds trip costs, and we ensure that the daily revenue generated by each aircraft surpasses its daily operating costs, we remain profitable—regardless of how extensively we utilise the asset. This disciplined approach ensures sustainable growth and financial stability for FLY91.
Goel: What made you select ATR as your aircraft of choice? How has the aircraft performed till date?
Chacko: The ATR 72-600 is one of the safest aircraft in the world, with an outstanding safety record. It’s also the most fuel-efficient option in the 70-plus-seater category. To put things into perspective, the ATR burns approximately 600 kilograms of fuel per flight hour, which makes it highly economical.
In terms of costs, the cockpit costs for an ATR are similar to those for larger jets like the A320 or 737. However, while those aircraft spread costs over 186 or more passengers, we do so across just 70 seats. Despite this, the ATR has significant advantages in maintenance and leasing costs, which are typically one-third or even one-fourth of what larger jets require.
“The ATR 72-600 is one of the safest aircraft in the world, with an outstanding safety record. It’s also the most fuel-efficient option in the 70-plus-seater category”
This cost efficiency is particularly beneficial on days when passenger loads are lower. While we have fewer seats to generate revenue, we also lose far less compared to operating larger aircraft like the A320 or 737. The ATR 72-600’s combination of safety, fuel efficiency, and cost-effectiveness makes it a perfect fit for FLY91.
Goel: How many aircraft do you have now and what is the plan for the fleet, going forward?
Chacko: FLY91 currently has 2 aircrafts in operation and another two shall be joining the fleet in the first quarter of 2025. As part of FLY91’s growth strategy, the first six aircraft will be based at Goa’s Manohar International Airport, the airline’s home base, from where they will connect eight to 10 cities. FLY91 aims to establish a new operational base annually over the next five years, with each base operating six to seven aircraft. By the end of five years, the airline aims to have a fleet of 30 ATR 72-600 turboprop aircrafts, each covering 8 to 10 cities. This will enable FLY91 to serve 50 cities across the country, focussing on regional connectivity with an average flight duration of 60 to 90 minutes.
Goel: Are you looking at connecting only Tier-II and Tier-III cities or also operating to Tier I cities in the future? If yes, will you still use the ATR to fly the trunk routes?
Chacko: FLY91’s focus is on connecting tier 2 and tier 3 cities, leveraging a fleet of 70-seater ATR 72-600 aircraft to provide lastmile connectivity. The airline is dedicated to reaching underserved and remote destinations where air services are limited or non-existent. When the UDAN Scheme was announced, 52 cities were put up for bidding. We did a very detailed study, and we picked up four destinations by looking at infrastructure. Sindhudurg and Jalgaon in Maharashtra are great examples of destinations with near zero air connectivity which are doing very well today. This is how the airline is filling critical gaps in connectivity.
Goel: Do you think operating an airline becomes easier and more profitable by having the fleet of the same type of aircraft?
Chacko: Operating a fleet of ATR 72-600 has several advantages like Operational Efficiency, Cost Savings and focussed strategy of short haul flights under 90 minutes making it suitable for regional connectivity. We aim to co-exist, compliment rather than compete with all forms of transportation, including airlines. Our goal is to provide access to cities where air service is lacking, focusing on last-mile connectivity. We plan to operate niche sectors with a standardised fleet and where we are often the only player, or one of two.
Goel: You went on record saying that Aviation is about Air Transportation and not Hospitality. Please explain!
Chacko: At FLY91, we see aviation as air transportation, not hospitality. Our mission is to build an efficient and robust air transport ecosystem that connects Tier-II and Tier-III cities like Goa, Sindhudurg, Jalgaon, Pune, and Agatti (Lakshadweep Islands) improving the last mile connectivity. We also provide connectivity from such locations to Hyderabad and Bengaluru.
Aviation is a precision business, where success depends on cost leadership, sound financial structuring, and maintaining aircraft efficiently keeping the engineering costs in check. Many failed airlines prioritised hospitality over operational fundamentals, neglecting the core elements of network planning, cost control, and asset management.
At FLY91, 80 per cent of our focus is on operations—ensuring sustainable routes, fleet efficiency and maintenance. The remaining 20 per cent reflects customer-focused offerings, like seamless services, but without compromising operational excellence. Our priority is delivering safe, reliable and efficient air transportation.
Goel: You have also said that FLY91 is focussed on responsible travel and sustainable tourism. How do you plan to ensure this?
Chacko: FLY91 is committed to responsible travel and sustainable tourism through multiple strategic initiatives like Fuel Efficient Fleet to lower carbon emissions as ATR is the most fuel-efficient aircraft that exists today. For example, if you’re doing a Bengaluru-Goa leg, the total fuel that our aircraft would burn on a sector like that would be below 800 kilos. When you fly the same sector on an Airbus 321, just taxiing that aircraft from the gate to the takeoff point burns about 700 kg of fuel.
Additionally, we are focussed on Digital Operations. We are the only airline globally where, the moment you purchase a ticket, you’re automatically checked in, and receive your boarding pass via WhatsApp or email. Our boarding pass is only 19 KB in size, whereas the average boarding pass in India is around 380 to 400 KB. We’ve leveraged simple yet effective technologies, avoiding the traditional call centre route entirely by using bots. Our office processes are fully digital eliminating paper usage and storage.
Our focus on sustainable and responsible tourism is complemented by our strategic efforts to unlock the tourism potential of previously untouched destinations like Sindhudurg and Jalgaon. By serving these destinations, we not only encourage tourism growth but also contribute to the broader goal of sustainable travel. Our inflight food and beverages reflect the local cultures of the regions which FLY91 connects.
Goel: Would you like to share your vision for FLY91 with us?
Chacko: FLY91’s vision is to revolutionise regional air connectivity by focussing on last mile air connectivity. Over the next five years, we aim to connect over 50 cities in India from strategically established hubs nationwide. Our commitment is to provide safe, efficient and sustainable travel using an ATR 72-600 fleet which are a reliable and well-established solution for safe, fuel-efficient, and environmentally sustainable operations for regional airlines worldwide. As a part of this plan, FLY91 will add 30 aircraft to its fleet, which will be based at various hubs across the country. By bridging gaps in underserved regions and new destinations we aspire to create a robust Air Transport eco system that transforms the way India travels.