IndiGo, the low-cost carrier, reported a giant net loss of Rs 986 crore in the second quarter of FY25 compared with net profits of Rs 188 crore in the same period last year.
Higher fuel costs and peak number of groundings, which have now begun to reduce according to parent InterGlobe Aviation Ltd, drove the loss.
Total expenses for the quarter ended September 30 were at Rs 18,666 crore, up 21.9 per cent from the same quarter last year.
Total income for IndiGo was at Rs 17,760 crore during the second quarter with a net increase of 14.6 per cent compared with the same quarter last year.
According to the aviation major, the capacity jumped to 38.2 billion, growing by 8.2%, as passengers rose 5.8% to 27.8 million in the quarter.
The growth and expansion of IndiGo continued as the topline rose 14.6 per cent on a year-over-year basis, said the CEO of the company, Pieter Elbers. In a traditionally weaker second quarter, results were further impacted by headwinds related to groundings and fuel costs. We have turned the corner as the number of grounded aircraft and associated costs have started reducing, Elbers said.
We continue to capitalize on the growth of the Indian market and associated opportunities and, at the same time, remain a cost leader in this competitive market," added the CEO.
According to DGCA data, the country's domestic air passenger traffic stood at 11.84 crore for the first nine months of the year, which was better than the corresponding period of the last fiscal at 11.28 crore. Low-cost carrier IndiGo flew over 7.25 crores passengers during the nine-month period (January-September) and clocked a market share of 61.3 per cent followed by Tata Group-run Air India, which flew over 1.64 crores passengers with 13.9 per cent share.
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