IndiGo posts 2,844 cr loss in Q1 as Covid hits
Airline's total income declined 88 per cent to `1,143.8 crore
Mumbai: InterGlobe Aviation on Wednesday reported a net loss of Rs 2,844.3 crore for the three months ended June as disruptions due to the coronavirus pandemic significantly impacted the airline. The parent of the country's largest airline IndiGo had a net profit of Rs 1,203.1 crore in the year-ago period.
In the first quarter of the current financial year, the airline's total income declined 88 per cent to Rs 1,143.8 crore. In the year-ago period, the same stood at Rs 9,786.9 crore, according to a regulatory filing. Revenue from operations declined 91.9 per cent to Rs 766.7 crore in the quarter under review, compared to the same period a year ago. "Closure of scheduled operations till May 24, 2020 and lower capacity deployment thereafter on account of Covid-19, significantly impacted the quarterly results," the filing said.
In the wake of the pandemic, air services were suspended in late March. Domestic flights resumed on May 25, while international flights services remain suspended. According to the filing, average ticket price in the June quarter rose 11.1 per cent to Rs 4.53 per passenger per kilometre.
IndiGo CEO Ronojoy Dutta said, "The aviation industry is going through a crisis of survival and therefore, our cash balance remains our number one priority". "However, we also recognise that major disruptions offer companies opportunities for improvement in product, customer preference, costs and employee engagement." At the end of June, IndiGo had 274 aircraft in its fleet.
IndiGo had a total cash balance of Rs 18,449.8 crore comprising Rs 7,527.6 crore of free cash and Rs 10,922.2 crore of restricted cash as on June 30. During the same period, the capitalised operating lease liability was Rs 21,177.9 crore, while the total debt, including the capitalised operating lease liability, was Rs 23,551.6 crore.