Skyways Air Services has finalised the commercial terms of its agreement with Qatar Airways and expects the contract to receive formal sign-off within the next few weeks, according to Chairman and Managing Director Yashpal Sharma.
The agreement is expected to strengthen Skyways’ access to international air cargo capacity as the freight forwarder expands its carrier network. Skyways typically enters into 12-month capacity contracts with airlines, providing access to cargo space across European, Middle Eastern, Indian and Far Eastern markets.
The Qatar Airways arrangement was under renewal as of March 2026, according to the company’s offer documents. Skyways already maintains performance-based arrangements with several major carriers, including Saudi Cargo, Air India Cargo, Emirates and Lufthansa.
The expected agreement comes as Skyways Air Services is undertaking its initial public offering, which opened for subscription on August 24, 2026. The company is using the IPO to strengthen its balance sheet and provide additional working capital for future expansion.
Around ₹216 crore of the IPO proceeds is earmarked for repayment of long-term debt. Sharma expects the debt reduction to generate interest-cost savings of approximately ₹16–18 crore during the current year. A further ₹130 crore is planned for working capital requirements to support the company’s growth.
Skyways currently has gross debt of around ₹600 crore, while net debt stands at approximately ₹198 crore. The company expects a stronger financial position following the planned debt repayment to provide greater flexibility for expanding its logistics operations.
Air freight remains the company’s principal business. In FY2026, air cargo services accounted for about 77% of Skyways’ operating revenue, while ocean cargo contributed around 15%. The company reported revenue from operations of approximately ₹2,812.9 crore for FY2026.
The Qatar Airways contract could therefore play an important role in maintaining Skyways’ access to international cargo capacity and supporting its freight-forwarding business. Securing additional airline capacity is particularly important for forwarders, as it enables them to offer competitive rates and reliable space to exporters and importers across key trade lanes.
Skyways operates a broader logistics platform covering air and ocean freight forwarding, trucking, warehousing, customs broking and express cargo services. Its network and airline relationships allow the company to offer integrated logistics solutions to customers across domestic and international markets.
The formal Qatar Airways sign-off is now expected to be the next key step, with the agreement potentially strengthening Skyways Air Services’ position in India’s increasingly competitive air-freight forwarding market.