Aviation major IndiGo on Friday reported multi-fold surge in net profit to Rs 1,422 crore for the three months ended December.
The profit rose over 1,000%, compared with Rs 129 crore in the last-year period. Revenue from operations surged 61% to Rs 14,932 crore in the third quarter as against Rs 9294 crore a year ago.
The massive bottomline growth was driven by low base of last year, mainly due the impact of the pandemic. The company had posted a loss of Rs 1,583 crore in previous September quarter.
The airlines sector was battered by the pandemic like any other, but it was among the last ones to recover from the after-effects of Covid. As economies opened and air travel demands recovered, companies’ performances improved.
“Third quarter performance was strong both operationally and financially against the backdrop of robust demand for air travel. The wide range of initiatives that were set in motion across the organization have started to yield results,” said Pieter Elbers, CEO, IndiGo.
For the December quarter, IndiGo’s passenger ticket revenues were Rs 13,162 crore, an increase of 63% and ancillary revenues rose 25% to Rs 1,422 crore compared to the same period last year.
“We are thankful to our customers and all IndiGo employees who enabled us to achieve this performance. With a modern fleet of over 300 aircraft, we continue to serve the market with further capacity growth planned across domestic and international sectors,” said Elbers.The Gurugram-based company’s EBITDAR (earnings before interest, tax, depreciation, amortisation and Rent) surged 70% to Rs 3,399 crore for the December quarter. It was Rs 1,995 crore in the same period last year.
Operationally, the airline’s capacity increased by 25%, while passenger numbers rose 26% to 22.3 million. On the other hand, yield improved by 21.9% to Rs 5.38 during the quarter under review and load factor advanced 5.4 points to 85.1%
Fuel costs jumped 77% to Rs 5,785 crore in the three months ended December.
IndiGo had a total cash balance of Rs 21,924 crore, of which Rs 10,612 crore is free cash and Rs 11,312 crore is restricted cash.
The airline has a fleet of 302 aircraft, including 23 A320 CEOs, 160 A320 NEOs, 78 A321 NEOs, 39 ATRs and 2 A321 freighter as of December, a net increase of 22 passenger and 1 freighter aircraft in the third quarter.
IndiGo reported capacity in terms of available seat kilometer (ASKs) growth at 28.8% in the third quarter and it expects fourth quarter ASKs to increase by around 45% year-on-year.
On Friday, ahead of the results, IndiGo stock closed 1.17% lower at Rs 2,100 apiece on the NSE.
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