Aviation360 MEA

IndiGo, India’s largest airline, posted a fourth-quarter profit that fell short of analysts’ expectations due to increased fuel prices that negated the post-Covid travel recovery.

The parent business InterGlobe Aviation’s net income for the three months ending in March was Rs9.16 billion ($111 million), less than the Rs16.2 billion rupees analysts had predicted.

Operational revenue increased 77% year over year to Rs141.6 billion.

According to figures from the aviation regulator, Indian airlines as a whole carried 37.5 million passengers, up 52% from a year prior. With a market share of roughly 57%, IndiGo is ideally situated to take advantage of that expansion. The airline offers flights to 26 foreign and 78 domestic locations.
In a statement, CEO Pieter Elbers attributed IndiGo’s record fourth-quarter profit, its second consecutive profitable quarter, to strong demand and strong execution.

IndiGo’s yearly loss was reduced by the fourth-quarter performance to Rs3.17 billion.

With rivals SpiceJet failing and Go Airlines India just seeking for insolvency protection and being told not to fly, IndiGo’s domestic dominance is only expected to grow. This month, individuals with knowledge of the situation indicated that IndiGo is in discussions with Go’s lessors about purchasing several of its Airbus aircraft.

Increasing capacity will aid IndiGo in regaining ground on Air India after the latter placed a world-record order for planes earlier this year. Tata Group, who owns Air India, is also in discussions over Go’s aircraft.