In a significant leadership change within the Air India Group, Campbell Wilson, the CEO and Managing Director of Air India, has stepped down as the Chairman of Air India Express, the group’s low-cost carrier. The decision, announced on April 22, 2025, marks a strategic move aimed at streamlining operations and enhancing coordination across the group’s airlines.
Nipun Aggarwal, Air India’s Chief Commercial Officer and a current board member of Air India Express, has been appointed as the new Chairman of Air India Express. This article delves into the reasons behind this leadership transition, its implications for the airline group’s growth and integration strategy, and the future outlook for Air India Express under new stewardship.
Air India Express has set an ambitious target of carrying 30 million passengers in the 2025-26 financial year, a sharp jump from the 20 million passengers it flew in FY25. This projected 50% growth is supported by a significant increase in operational capacity, with weekly departures rising by 50% to 2,727 flights in 2025. The airline currently operates 485 daily flights with a fleet of 103 aircraft, and plans to expand daily flights to over 525 in the coming year. This expansion is part of a broader strategy to strengthen its position in both domestic and international markets, with a particular focus on connecting Tier 2 and Tier 3 cities to major metro hubs.
Air India CEO Campbell Wilson Steps Down as Air India Express Chairman: A Strategic Leadership Shift
Campbell Wilson, who has been Chairman of Air India Express since June 2022, announced his decision to step down in an internal message to employees on April 22, 2025. Wilson stated that with the major structural work within the Air India Group largely complete—including the merger of four airlines into two entities and consolidation of back-end operations—the time was right to hand over the reins of Air India Express to Nipun Aggarwal. Wilson will continue as CEO and Managing Director of Air India and will remain responsible for the overall performance of the Air India Group.
Nipun Aggarwal, a seasoned executive with experience at Tata Sons and several global financial institutions, is expected to bring fresh focus to Air India Express. Holding dual roles as Air India’s Chief Commercial Officer and now Chairman of Air India Express, Aggarwal’s leadership is designed to enable greater coordination of the group’s network, sales, distribution, and loyalty programs across both full-service and low-cost carriers. This integration is seen as critical for optimizing fleet utilization and enhancing commercial synergies.
Despite impressive revenue growth, Air India Express faced a net loss of INR 163 crore in FY24, a reversal from its INR 117 crore profit in FY23. The loss came even as income surged 33% year-on-year to INR 7,600 crore, driven by increased passenger numbers and enhanced capacity. However, operational expenses rose even faster, climbing 38.3% to INR 7,763 crore, largely due to escalating fuel costs, which account for 40% of the airline’s total expenses. The airline’s inability to fully pass on these costs to passengers, due to fluctuating demand and competitive fare dynamics, remains a key challenge.
Enhancing Operational Synergy: New Board Appointments and Future Plans
To ensure operational synergy between Air India and Air India Express, Captain Basil Kwauk, Air India’s Chief Operations Officer, will join the Air India Express board once regulatory approvals are secured. This move aims to align operational strategies and improve efficiency across the group’s airlines. Wilson emphasized that with the structural overhaul mostly complete, the group’s focus now shifts to fully leveraging and optimizing its fleet, network, and commercial assets.
Air India Express has seen rapid growth over the past year, expanding its fleet by 56% from 66 to 103 aircraft and increasing daily flights from 485 in FY25 to a target of over 525 in FY26. The airline is targeting 30 million passengers in FY26, a 50% increase from the 20 million flown in FY25. These ambitious growth plans will require strong leadership and close coordination with Air India’s broader network strategy.
The integration of AIX Connect (formerly AirAsia India) into Air India Express in October 2024 has already yielded efficiency gains. AIX Connect reduced its net loss to INR 1,149 crore in FY24 from INR 2,750 crore in FY23, highlighting the early benefits of the merger in terms of operational synergy and cost management. Looking ahead, Air India Express plans to double its fleet size to 175 aircraft within the next two to three years, which will be essential to meet its ambitious passenger growth and route expansion targets.
Furthermore, Air India Express is actively exploring new international routes, particularly in the Middle East, Southeast Asia, and Africa, where there is strong demand for affordable air travel connecting Indian expatriate communities and business travelers. The airline’s strategic emphasis on underserved and emerging markets aligns with India’s broader aviation policy goals to boost regional connectivity and support economic growth in smaller cities. Expansion into these markets will require close coordination with Air India’s full-service operations to offer seamless connectivity and competitive pricing.
Looking ahead, the leadership transition is expected to bring renewed focus on customer-centric innovations and operational efficiency. With increasing competition from both domestic low-cost carriers and international airlines expanding into the Indian market, Air India Express aims to differentiate itself through enhanced digital services, improved on-time performance, and expanded connectivity options. The new leadership is also likely to prioritize sustainability initiatives, including fleet modernization with fuel-efficient aircraft and exploring sustainable aviation fuels, aligning with global trends toward greener aviation. This strategic direction will be critical for Air India Express to secure a stronger foothold in the evolving aviation landscape and deliver long-term value to passengers and stakeholders alike.
Background: Air India Group’s Transformation Under Tata Ownership
Since Tata Group’s acquisition of Air India and its subsidiaries in January 2022, the airline group has undergone a major transformation. The merger of Vistara into Air India in November 2024 and the integration of AIX Connect (formerly AirAsia India) into Air India Express in October 2024 have streamlined the group’s operations into two main airlines: a full-service carrier and a low-cost carrier. This consolidation aims to reduce duplication, improve cost efficiencies, and create a more competitive airline group.
Wilson has been at the helm during this critical period of restructuring, overseeing fleet expansion, leadership refreshes, and operational consolidation. His decision to step down as Air India Express Chairman reflects a natural progression as the group moves from structural changes to operational optimization and growth.
Another major factor impacting Air India Express and the broader Air India Group is the volatility of the Indian rupee against the US dollar. With most airline expenses denominated in dollars—especially for fuel, aircraft leases, and maintenance—a weakening rupee puts additional pressure on profitability. Air India’s Chief Commercial Officer, Nipun Aggarwal, noted that while international ticketing provides some natural hedge, the persistent depreciation of the rupee requires the airline to focus on improving productivity and operational efficiency to mitigate cost pressures.
The leadership transition at Air India Express comes at a critical juncture as the airline navigates a highly competitive market landscape marked by rising fuel prices, evolving passenger preferences, and regulatory challenges. Under Nipun Aggarwal’s chairmanship, the airline is expected to accelerate its focus on digital transformation initiatives, including enhanced customer experience platforms, dynamic pricing models, and data-driven route optimization. These technological advancements aim to improve load factors, reduce operational costs, and increase ancillary revenue streams, which are vital for sustaining profitability in the low-cost carrier segment.
Future Outlook: Leveraging Synergies for Competitive Advantage
With Aggarwal’s appointment, Air India Express is expected to benefit from closer alignment with Air India’s commercial strategies, including network planning, sales, and loyalty programs. This integration is crucial as the group faces intense competition from domestic and international carriers in both full-service and low-cost segments.
Wilson highlighted ongoing challenges such as global aircraft supply chain constraints affecting fleet expansion and retrofit programs, which are expected to persist for several years. Despite these hurdles, the group remains optimistic about growth prospects, fleet modernization, and increasing passenger volumes.
The leadership change at Air India Express, with Campbell Wilson stepping down as Chairman and Nipun Aggarwal taking over, marks a pivotal moment in the airline group’s journey toward greater integration and growth. As the Tata Group-led airline consolidates its operations and expands its fleet, the focus now shifts to optimizing commercial and operational synergies to strengthen its position in the competitive aviation market. Stakeholders will be watching closely as the new leadership team steers Air India Express toward ambitious targets and a more unified future.
Amid these operational and financial challenges, the Air India Group, under Tata ownership, continues to pursue a transformative agenda. The group operates 300 aircraft across both brands, serving over 60 million customers annually to more than 100 destinations worldwide. Recent milestones include the completion of the Air India Express and AirAsia India merger, as well as the integration of Vistara with Air India.
The group has also placed orders for 100 more aircraft, including 10 wide-body A350s and 90 narrow-body A320s, as part of its modernization and expansion strategy. CEO Campbell Wilson has emphasized that 2025 will see further progress on key initiatives, including the refitting of aircraft and the elevation of service standards, with the ultimate goal of achieving consistent profitability and operational excellence.
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