homeearnings News

IndiGo posts highest quarterly profit since listing, yields surge post grounding of Jet Airways

IndiGo posts highest quarterly profit since listing, yields surge post grounding of Jet Airways

IndiGo posts highest quarterly profit since listing, yields surge post grounding of Jet Airways
Profile image

By CNBC-TV18 Jul 19, 2019 6:09:42 PM IST (Updated)

InterGlobe Aviation, which runs IndiGo, on Friday reported the highest quarterly profit since listing and its yields surged post grounding of Jet Airways.

InterGlobe Aviation, which runs IndiGo, on Friday reported the highest quarterly profit since listing and its yields surged post grounding of Jet Airways.

Recommended Articles

View All

The company recorded a consolidated net profit of Rs 1,203 crore for the first quarter ended in June 2019. The profit has increased more than 43 times.
In the corresponding quarter last year, the company posted a net profit of Rs 27.8 crore.
Total income climbed to Rs 9,786.94 crore for the June quarter from Rs 8,259.69 crore in the same period a year ago, according to a regulatory filing.
Its revenue from operations jumped nearly 45 percent to Rs 9,420 crore. Yield, which is an indicator of revenue earned for every kilometre flown, jumped to 12.8 percent in the latest quarter. Besides, the airline has increased its capacity.
IndiGo CEO Ronojoy Dutta said the company has reported the highest ever quarterly profit after tax. "Strong passenger revenues along with a sharp improvement in cargo performance were key drivers to this improved profitability," he said.
The good performance also comes at a time when co-promoters Rakesh Gangwal and Rahul Bhatia are locked in a feud over alleged governance lapses. IndiGo, which has been on an expansion path, had 235 planes in its fleet at the end of June. It flies to over 70 destinations.
The latest June quarter demonstrated the company's ability to grow rapidly, while also expanding margin performance, Dutta said. As on June 30, IndiGo's cash balance stood at Rs 17,337.1 crore.
For the second quarter of current fiscal, the company expects to ASK (Available Seat per Kilometre) to increase by 28 percent on a year-on-year basis. The rise is projected to be 30 percent for the financial year 2020.
"With effect from April 1, 2019, the company has capitalised its operating leases in accordance with Ind AS 116. "The capitalised lease liability as of June 30, 2019, was Rs 1,60,701 million (Rs 16,070.1 crore). The total debt (including the capitalised lease liability) was Rs 1,84,309 million (Rs 18,430.9 crore)," the filing said. Indian Accounting Standards (Ind AS) 116 pertains to leases.
On promoter dispute, InterGlobe Aviation said, "The company has received letters from the Securities and Exchange Board of India ("SEBI") and from the Ministry of Corporate Affairs ("MCA") wherein they have requested for the company's comments in relation to the complaints filed by one of the Promoters of the company, with them. The company will be responding to concerned authorities within the prescribed timelines and believes that aforesaid matter does not impact the financial results of the company."
Shares of InterGlobe Aviation ended at Rs 1,463.35, down Rs 4.70, or 0.32 percent on the BSE.
(With inputs from PTI)
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!

Top Budget Opinions

    Most Read

    Market Movers

    View All
    Top GainersTop Losers
    CurrencyCommodities
    CompanyPriceChng%Chng