FLY91 Signs $1 Billion Deal for 40 ATR 72-600 Turboprops

Indian regional airline FLY91 has signed a firm order for 40 ATR 72-600 turboprop aircraft, a deal valued at roughly $1 billion. The agreement stands as ATR's largest firm order in nearly a decade and the biggest ever placed by a regional airline.

The Goa-based carrier announced the purchase on September 3 at a signing ceremony held in New Delhi, in the presence of Civil Aviation Minister Kinjarapu Ram Mohan Naidu, ATR CEO Nathalie Tarnaud Laude, ATR Chief Commercial Officer Alexis Vidal, FLY91 founder and CEO Manoj Chacko, and FLY91 chairman Harsha Raghavan.

Details of the order

FLY91 currently operates six ATR 72-600s, and the new order will expand that fleet significantly. The airline launched commercial operations in March 2024 and has focused on linking smaller Indian cities under the country's regional connectivity scheme, known as UDAN.

The ATR 72-600 seats around 72 passengers and is designed for short regional routes. The turboprop burns less fuel than comparable regional jets, making it a common choice for carriers operating from smaller airports with shorter runways.

Deliveries under the firm order are scheduled between 2027 and 2032. FLY91 said it plans to grow its overall fleet from six aircraft to more than 60 within five years – a target that implies additional aircraft beyond the 40 on firm order, likely through leasing arrangements similar to the two ATR 72-600s FLY91 previously leased from Dubai Aerospace Enterprise.

Largest ATR order in years

The FLY91 deal marks the biggest single ATR order since IndiGo signed for 50 ATR 72-600s in 2017, which remains the largest ATR order overall. ATR, a joint venture between Airbus and Leonardo, has faced softer demand for turboprops in recent years as some regional carriers shifted toward regional jets. The order lifts ATR's 2026 intake to 54 aircraft, already exceeding its full-year 2025 net orders with more than three months of the year remaining.

India has emerged as one of the strongest markets for regional aviation growth, with the UDAN program subsidizing flights to smaller airports. India's total ATR fleet now comprises about 70 aircraft across three airlines: IndiGo operates 44 ATR 72-600s, Alliance Air operates 18 ATR 72-600s and two ATR 42-600s, and FLY91 operates six.

Industry context

The order lands during a mixed period for aviation manufacturing. Airbus, ATR's parent alongside Leonardo, recently disclosed quality lapses on the horizontal tail plane of its A330neo widebody jet that brought deliveries to a near halt for three months – none in June or July, and just one in August – though Airbus says the root cause has been identified and deliveries have resumed. Those inspections are unrelated to ATR's turboprop production but reflect broader supply chain pressures affecting manufacturers globally, as both Airbus and Boeing continue struggling to meet delivery targets since the pandemic.

For ATR, the FLY91 order provides a significant boost to its order book as it navigates a market where many legacy turboprop operators have delayed fleet renewals.

What comes next

FLY91 has not disclosed the financing structure for the purchase; large aircraft orders typically involve a mix of cash, bank financing, and sale-leaseback arrangements with aviation lessors.

The airline plans to grow its route network across western and southern India first, before expanding elsewhere. Its base of operations is Manohar International Airport in Goa, and ATR's aircraft are produced at the manufacturer's facilities in Toulouse, France.

Industry analysts will watch whether the FLY91 deal signals a broader revival in turboprop demand, particularly across emerging markets where regional connectivity remains a policy priority.