IndiGo Q2 loss widens to Rs 1,583.34 cr on forex loss

InterGlobe Aviation, the parent of the country's largest airline IndiGo, on Friday posted widening of loss to Rs 1,583.34 crore for the September quarter as higher fuel costs and exchange rates impacted the bottom line.

It reported a loss of Rs 381.8 crore, excluding the foreign exchange loss of Rs 1,201.5 crore, in the latest quarter under review.

The airline had a loss of Rs 1,435.66 crore in the year-ago period.

However, total income of the company rose to Rs 12,852.29 crore in the second quarter of the current fiscal from Rs 5,798.73 crore in the same period a year ago, according to a release.

In the latest September quarter, total expenses jumped to Rs 14,435.57 crore.

IndiGo CEO Pieter Elbers said that September quarter was the second consecutive quarter wherein it operated at higher than pre-Covid capacity.

"In spite of a seasonally weak quarter, we witnessed relatively good yields with strong demand across the network. However, fuel prices and exchange rates have adversely impacted our financial performance.

"We are on a steady path to recovery, benefiting from enormous opportunity both in domestic and international markets. With an industry challenged by global supply chain disruptions, we are working on various counter measures to accommodate this strong demand," he said.

In the September quarter, the airline said its capacity increased by 75 per cent and the passenger numbers rose by 75.9 per cent to 1.97 crore.

Yield improved by 21 per cent to Rs 5.07 while the load factor rose to 79.2 per cent, as per the release.

"For the quarter, our passenger ticket revenues were Rs 1,11,104 million, an increase of 135.6 per cent and ancillary revenues were Rs 12,872 million, an increase of 57.4 per cent compared to the same period last year," it said.

The airline's fleet stood at 279 aircraft, including 26 A320 CEOs, 149 A320 NEOs, 68 A321 NEOs, 35 ATRs and one A321 freighter at the end of September.

Elbers also said the airline has an unparalleled network presence enabling air travel to 74 domestic and 26 international destinations and would continue to accelerate and build on it.

As on September 30, the airline had a total cash balance of Rs 19,660.6 crore, comprising Rs 8,244.2 crore of free cash and Rs 11,416.4 crore of restricted cash.