The operator of India’s largest airline reported a surprise loss in the first quarter even as travel demand recovered.
InterGlobe Aviation Ltd, the parent of IndiGo, reported a net loss worth Rs 1,064 crore in the quarter ended June against a net loss of Rs 1,680 crore in the preceding three months and a loss of Rs 3,179 crore a year ago, according to its exchange filing.
A consensus estimate of analysts tracked by Bloomberg had forecasted a net profit of Rs 1,694 crore.
High aviation turbine fuel prices and a depreciating rupee hurt the prospects of IndiGo, with nearly 60% market share, turning profitable. That’s because costs for maintenance and repair are borne outside of the country and are paid in foreign currency.
Yields, a measure of average fare per passenger per kilometer, rose to Rs 5.24 a km from Rs 4.40 in the preceding quarter.
IndiGo Q1 FY23 Highlights (QoQ):
Revenue rose 60% to Rs 12,855 crore, against the Rs 15,338-crore forecast.
Ebitdar stood at Rs 717 crore versus Rs 172 crore.
Ebitdar margin stood at 5.6% compared with 2.1%.
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