Linhas Aéreas de Moçambique (LAM) has returned to profitability, recording a net profit of €72.6 million for the 2025 fiscal year.
The state-owned carrier’s turnaround follows a period of financial losses, marking a significant shift in its operational and financial trajectory.
The profit surge was primarily driven by a debt restructuring deal that removed more than €81 million in liabilities from the airline’s balance sheet.
The profit surge was primarily driven by a debt restructuring deal that removed more than €81 million in liabilities from the airline’s balance sheet.
This accounting adjustment, rather than a sudden spike in passenger revenue, appears to be the main catalyst for the positive bottom line.
The restructuring provides LAM with a cleaner financial footing, potentially easing pressure on state subsidies and improving access to future financing.
The airline’s recovery stands in contrast to broader economic headwinds in Mozambique.