Jet Airways' annual loss at Rs 402 crore

The company also showed other income of Rs 100.56 crore in March 2009 quarter (Rs 36.57 crore in March 2008 quarter) mainly from profits made in sale-and-lease back of own aircraft. Jet also took a Cenvat credit of Rs 349.93 crore in its current assets in Q4 by changing its accounting treatment for the same. Unfortunately, Jet also had to provide for losses in forex derivatives to the extent of Rs 133.36 crore in Q4.

These changes though legally tenable, they are not seen as shareholder and investor friendly. Total income of the Naresh Goyal promoted air carriers in Q4 has decreased to Rs 2,566.21 crore for the quarter ended March 31, 2009 from Rs 2796.47 crore in the quarter ended March 31, 2008.  For the full year 2008-09, the Company has posted a net loss of Rs 402.34 crore as against a net loss of Rs 253.06 crore for the previous fiscal, while its total income has increased from Rs 9550.96 crore to Rs 11,786.88 crore for the year ended March 31, 2009. The annual losses will be far greater if the above-mentioned accountings changes are adjusted for.

Operational costs

The Consolidated results of the Group for the year showed a net loss of Rs (961.41) crore for the year ended March 31, 2009 as compared to net loss of Rs (653.87) crore for the year ended March 31, 2008, while its total income rose from Rs 10,990.72 crore for the year ended March 31, 2008 to Rs 13,448.86 crore for the year ended March 31, 2009.
The company said it suffered losses mainly on account of high fuel and other operating costs, besides lower load factors resulting into lower revenues than expected.

Further, Jet Airways has skipped the dividend for the year ended March 31, 2009 as the company’s Board meet held on Monday did not recommend any dividend.