TAP Air Portugal’s net profit fell 92% to €4.1 million in 2025 from €53.7 million in 2024, driven by a €42 million tax adjustment from revaluing deferred tax assets after Portugal’s corporate tax rate cut. The carrier emphasized recurring net profit of €46 million excluding this one-off effect, marking its fourth consecutive profitable year.
Operating revenues rose 1.2% to €4.313 billion, fueled by a 0.8% increase in ticket sales and 10.7% growth in maintenance services. Passenger traffic climbed 3.4% to 16.7 million, with load factor improving to 84.2% amid solid demand, though North America faced softer trends and competition.
Recurring operating costs increased 3.6% to €4.07 billion. Liquidity strengthened to €765.3 million by year-end, up €113.7 million from 2024.
In Q4 2025, TAP posted a €51 million loss primarily from the tax hit, but recurring EBITDA grew to €151 million, a €31.7 million improvement.
These results support ongoing recovery post-COVID restructuring and align with Portugal’s privatization push. Air France-KLM and Lufthansa Group submitted non-binding bids for a 44.9% stake in early April, with a decision due mid-2026; IAG withdrew.