InterGlobe Aviation, the parent company of low-cost carrier IndiGo, is set to release its first-quarter earnings later in the day. The stock has fallen to Rs 918 from Rs 1,190 in the last two months as the travel industry remained affected due to the coronavirus-induced lockdown. Flights resumed only in the last week of May and that too with limitations. Hence, the quarter is expected to be weak for the company.
Yields are expected to decline by 10 percent year-on-year (YoY) and 2 percent quarter-on-quarter (QoQ). The company, though has taken various initiatives to cut costs, will see a very weak set of numbers.
The analysts are expecting the revenues to fall by 80 percent for IndiGo and an EBITDA loss of almost Rs 800 crore. A net loss of Rs 1,600 crore is likely.
CNBC-TV18’s Sonia Shenoy has more details