Spicejet
Delhi-based low-cost airline SpiceJet reported a profit after tax of Rs 1.19 billion for the fourth quarter of fiscal 2024, a six-fold increase from the profit after tax of Rs 0.17 billion reported during the same quarter previously, the airline said in a statement.
The airline said that operating costs were higher thanks to a 10 percent increase in the average price of Aviation Turbine Fuel. The Indian Rupee depreciated against the US Dollar by 2 percent during the latest quarter compared to the last quarter.
The statement adds that some of the key highlights for the quarter ending March 31 this year include completing a capital infusion of Rs 10.6 billion in two tranches under a preferential share issue, signing a settlement of $22.5 million with Export Development Canada to resolve $90.8 million in liabilities, and settling liabilities aggregating over $50 million with various lessors.
The airline also claims to have narrowed its losses by 73 percent, reporting a loss after tax of Rs 4.09 billion for the year ended March 31 this year, compared to a net loss of Rs 15.3 billion during the last fiscal year.
The airline’s board met in Delhi late Monday evening to clear the financial results.
For the year ending March 31, airline passenger Revenue per Seat Kilometer improved by 8 percent compared to the previous year due to increasing yields by 7 percent and load factor by 1 percent, the airline statement says, adding that it was able to improve its net worth by Rs 6.46 billion or an increase of 20 percent in fiscal 2024 as compared to the previous fiscal.
Commenting on the results, Mr Ajay Singh. Chairman and Managing Director of SpiceJet said we are confident that SpiceJet is well-positioned to soar even higher in the coming quarters. “As we move forward, we are exploring opportunities to raise fresh funds to bolster our growth plans further and take advantage of the burgeoning demand in the Indian aviation market. We are confident that with our robust strategy and dedicated team, we will continue to soar to new heights and create value for our stakeholders,” he said.
Interestingly, another Delhi-based low-cost airline, IndiGo, reported in May this year that its net profit more than doubled to Rs 18.94 billion for the quarter ended March 31, compared to a net profit of Rs 9.19 billion previously.
IndiGo and SpiceJet are the only two listed commercial airlines in India, a market that has other players, including Air India (a combination of four airlines that will eventually be carved out into two, one low-cost and another full-service) and Akasa. Gofirst, another airline in India, ceased operations in May last year.
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