Thai Airways International (THAI) has officially dissolved its subsidiary, Thai Smile Airways, marking the end of the budget airline after more than a decade of continuous losses totaling over 20.9 billion baht and a negative shareholder equity of approximately 9.7 billion baht.
According to a report from Thai Airways International Public Company Limited, the airline notified the Stock Exchange of Thailand (SET) on June 5, 2025, that it had completed the legal process to dissolve Thai Smile Airways Co., Ltd., in which it held a 99.99% stake.
The decision followed the resolution passed at the 14th Executive Plan Administrator Meeting on May 8, 2025, which approved proceeding with the legal dissolution of Thai Smile. The registration of the dissolution was finalized with the Department of Business Development (DBD) under the Ministry of Commerce on June 5.
Thai Airways confirmed that the closure of the subsidiary will have no impact on its ongoing operations and that the legal liquidation process will continue accordingly.
Thai Smile was established on October 17, 2013, with cabinet approval granted on September 24, 2013, during the tenure of Piyasvasti Amranand as Thai Airways’ President. The airline launched with a registered capital of 1.8 billion baht, fully owned by Thai Airways.
The first Thai Smile flight took place on April 10, 2014, from Suvarnabhumi Airport across 10 domestic routes under airline code WE, and the final flight, WE268 from Hat Yai to Bangkok, departed at 8:45 p.m. on December 31, 2023.
Financial records show that Thai Smile reported losses every year over its 12 years of operation, making it one of Thai Airways’ most costly ventures. As of its final financial statement:
- Accumulated losses exceeded 20.929 billion baht
- Shareholders’ equity was negative by 9.676 billion baht
The long string of losses ultimately led to the decision to wind down operations — a hard-earned lesson for Thai Airways as it continues its financial restructuring.
Source – The Nation