SpiceJet flies into Rs 24-cr Q2 profit on lower expenses

 Continuing its growth story after a near-closure situation, low-cost carrier SpiceJet has registered a net profit of Rs 23.8 crore in the second quarter of 2015-16 as against a net loss of Rs 310.44 crore in the same period last fiscal.

This is the third consecutive quarter the airline has registered net profit. In the first quarter of 2015-16, it had recorded Rs 71.84 crore net profit. One of the main reasons for the growth is the reduction in expenses related to jet fuel and aircraft lease rentals.

SpiceJet has earned revenue of Rs 1,040.1 crore in the July-September quarter. On an EBITDA basis, SpiceJet reported a profit of Rs 75.2 crore against a loss of Rs 239.3 crore in the same quarter last year.

“Given that this quarter is the most challenging in the year, I am happy that the airline was able to demonstrate an encouraging performance. Our third consecutive profitable quarter since we embarked on the revival process, shows that we are on the right track,” Ajay Singh, Chairman and Managing Director of SpiceJet, said.

He said the airline’s performance would get better as they continue to focus on revenue maximisation, cost reduction and on getting operational reliability.