IndiGo’s Profits Fall By 75 Per Cent In December Quarter On Year-To-Year Basis, But Improved Performance Over Q2

InterGlobe Aviation Ltd., the operator of IndiGo Airlines in India reported a 75 per cent fall in net profits for the quarter ending in December 2018 (Q3 FY19) on a year-to-year basis, reports The Hindu BusinessLine (BL).

However, net profit of Rs 191 crore posted in Q3 was a significant improvement over the previous quarter of FY19 when the airline reported a loss of Rs 652 crore on account of rupee depreciation and higher aviation fuel prices.

“Though we have seen a reduction in fuel prices this quarter as compared to the previous quarter, on a year-on-year basis, fuel prices are 31 per cent higher and the rupee has weakened by 11 per cent,” said Rahul Bhatia, chief executive officer of the airline, while commenting on the drastic fall in profitability over the same period last year.

The firm posted a healthy growth of 24 per cent in revenues on a yearly basis, which stood at Rs 7,916 crores. IndiGo’s air traffic also increased by 23.7 per cent year-on-year to 54.79 lakh during the period.

Largest Carrier

The airline is the largest carrier in India, both by passengers carried and the fleet size, with a market share of 42.8 per cent as of October 2018. IndiGo currently has 198 aircraft, carrying passengers across 63 destinations – 49 domestic and 14 international.

Also Read: Breaking Records With ‘Flying’ Colours: In A First, Indian Airlines Add Over 100 Aircraft In A Single Year