IndiGo owner posts first quarterly loss of Rs 652 crore in three years
This is the first time that the carrier has posted a quarterly loss since getting listed in November 2015.
IndiGo's parent InterGlobe Aviation on Wednesday reported a loss of Rs 652.1 crore in the three months ended September as higher costs and intense competition took a toll on the bottom line.
This is the first time that the carrier has posted a quarterly loss since getting listed in November 2015. IndiGo, the country's largest airline with over 40 per cent market share, had a profit of Rs 551.6 crore in the year-ago period.
According to a regulatory filing, IndiGo's total income rose over 18 per cent to Rs 6,514.2 crore in the second quarter ended September 2018.
In the same period a year ago, the total income stood at Rs 5,505.6 crore.
"High fuel cost, rupee depreciation and intense competition significantly impacted profitability," the filing said.
In the latest quarter under review, total expenses jumped 58.2 per cent to Rs 7,502.3 crore.
IndiGo's co-founder and interim CEO Rahul Bhatia said aviation in India is facing significant pressures from high fuel costs, rupee depreciation and intense competition, all of which have impacted the airline's profitability.
"Despite this difficult environment, IndiGo remains well-positioned, thanks to our low cost structure and strong balance sheet," he noted.