Even 5,300 New Buses Fail To Lift MSRTC Finances; June Loss Widens To ₹91.18 Crore Despite Fare Hike

Mumbai: Despite inducting over 5,300 new buses and imposing a 10% seasonal fare hike, the Maharashtra State Road Transport Corporation (MSRTC) slipped deeper into the red in June 2026. The state-run transporter posted a loss of ₹91.18 crore during the month, up from ₹56.85 crore in June last year, highlighting the growing financial strain despite repeated fare revisions and fleet expansion.

The corporation's operational performance also deteriorated sharply. Its loss per kilometre increased from ₹3.51 in June 2025 to ₹5.69 in June 2026. The setback comes even after MSRTC had implemented a 15% fare revision in January 2025, followed by the seasonal fare hike this year. At the same time, the financial burden of government-mandated passenger concessions remained high, with discounts worth ₹431.12 crore extended to eligible passengers in June alone.

The trend has been consistent over the past three months. MSRTC, which had recorded profits of ₹14.35 crore in April 2025 and ₹14.96 crore in May 2025, reported losses of ₹76.47 crore and ₹48.89 crore respectively during the corresponding months this year. On a per-kilometre basis, both months also witnessed a shift from profits to losses. Between January and April 2026, the corporation provided passenger concessions worth ₹1,793.72 crore, adding further pressure on its finances.

The figures have raised questions over the effectiveness of the corporation's recent investments. Although more than 5,300 new buses have been added to the fleet over the past two to three years to improve services and attract commuters, the expected increase in passenger traffic and revenue has not materialised. Instead, official data points to a steady decline in both.

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"Passenger numbers and revenue are declining day by day. Divisional Controllers and Depot Managers should be assigned district-wise targets for passenger traffic and revenue generation. If the expected revenue is not achieved, accountability must be fixed and action should be taken against the concerned officials," said Shrirang Barge, General Secretary of the Maharashtra ST Employees Congress.

The latest figures underline the growing challenge before MSRTC as it struggles to balance rising operational costs, concession obligations and falling revenue despite fare hikes and fleet modernisation.

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