IndiGo Q1 Results: Airline turns profitable, posts Rs 3,091 crore in net profits

3 Aug 2023 , 10:36 AM

For the quarter that ended in June, InterGlobe Aviation, which operates IndiGo, posted a consolidated net profit of Rs 3,091 crore, up from a loss of Rs 1,064 crore in the same period last year.

In the reporting quarter, operating revenue increased 30% year over year (YoY) to Rs 16,683 crore.

The budget carrier claims that this highest-ever quarterly net profit reflects solid operational performance, plan execution, and favourable market conditions.

In the first quarter, the company reported EBITDAR (profits before interest, tax, depreciation, amortization, and rent) of Rs 5,211 crore, up significantly from Rs 717 crore in the corresponding quarter the previous year.

The passenger ticket revenue for IndiGo for the June quarter was Rs 14,996 crore, up 31% YoY, and ancillary revenue was up 20% YoY to Rs 1,548 crore.

‘I’m happy to announce that the year has gotten off to a strong start, continuing on the upward trend from the previous two quarters. According to Pieter Elbers, CEO of IndiGo, ‘We produced strong operational performance and welcomed the highest quarterly passenger volume, enabling us to generate the highest ever quarterly revenue and net profit for the quarter.’

The total spending for the June quarter decreased slightly to Rs 14,070 crore, while fuel prices were down about 13% from the same period in 2022.

In the first quarter, the number of passengers increased by 30% to 26.2 million, while the capacity increased by 19% to 32.7 billion. Due to increased capacity, CASK (ex-fuel) dropped by 11% to Rs 2.57.

While the load factor rose by 9.0 points to 88.6% between April and June, yields fell 1.2% to Rs 5.18.

Contrarily, during the June quarter, the revenue per available seat kilometre (RASK) increased 9% to Rs 5.12. ASK capacity is anticipated to rise by about 25% year over year in the second quarter, according to the business.

Including its restricted cash position of Rs 11,709 crore and its free cash balance of Rs 15,691 crore, IndiGo has a total cash balance of Rs 27,400 crore.

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