Aviation

Grounded Jet Airways help IndiGo post 400% rise in Q4 net profit

Updated : May 28, 2019 07:20 AM IST

InterGlobe Aviation Ltd, owner of low-cost IndiGo airlines, posted a net profit of Rs 589.6 crore for the fourth quarter ended March 31, 2019 as against Rs 117.6 crore in the same period FY18.

Analysts expected a strong quarter for IndiGo as a lot of business moved from the grounded Jet Airways to other airlines, including IndiGo.

Passengers paid nearly 14 percent more for flights on the airline resulting in better yields for the airline. IndiGo said its yield per kilometre for the fourth quarter rose 12 percent, at Rs 3.70 per km as against Rs 3.31 in the March quarter of FY18.

The airline said its revenues for the given quarter went up by 35.9 percent, at Rs 7,883.3 crore.

CEO Ronojoy Datta said, "Fiscal 2019 was a tough year for the airline industry in India because of high fuel prices, weak rupee and intense competitive environment. However, it is a tale of two halves for IndiGo, with the first half of the year incurring losses and the second half of the year experiencing a sharp recovery. Looking ahead, it is difficult not to be bullish about the future. We see plenty of opportunities for profitable growth in our network and with a robust delivery stream of new aircraft, we are well positioned to

capitalise on this growth."

Total costs saw a sharp rise of 28.9 percent with fuel costs jumping 19 percent, at Rs 2,781.3 crore in the given quarter.

The company announced a dividend of Rs 5 per share.

IndiGo said its total debt as of March 31, 2019 stood at Rs 2,429.2 crore while it had cash and cash balances of Rs 15,308.1 crore.

The airline currently has a fleet of 217 aircraft, up 9 aircraft in the given quarter.

Grounded Jet Airways help IndiGo post 400% rise in Q4 net profit

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