InterGlobe Aviation Ltd, the parent company of IndiGo, reported an eleven-fold increase in the third quarter ending December 31, 2022, owing to an increase in air travel demand.
The airline’s earnings for the quarter under review was Rs 1,422.6 crore, up from Rs 129.8 crore the previous year.
In the third quarter, revenue from operations increased by 61 percent to Rs 14,932 crore, up from Rs 9,294 crore the previous year.
According to a statement, IndiGo’s overall income increased to Rs 15,410.2 crore in the third quarter of the current fiscal year, up from Rs 9,480.1 crore the previous year.
For the previous three quarters, the airline has been dealing with rising fuel prices and currency volatility, which have reduced profits.
However, a fast recovery in domestic and international air travel demand to pre-COVID levels more than compensated the fuel costs.
IndiGo expects capacity in available seat per kilometre to increase by 45 percent year on year this quarter.
Yields, a measure of profitability, increased 21.9 percent year on year to Rs 5.38 per kilometre, while the carrier’s load factor, or the proportion of passenger carrying capacity used, climbed 5.4 percentage points to 85.1 percent.
“Third quarter performance was strong both operationally and financially in the backdrop of robust demand for air travel,” Chief Executive Officer Pieter Elbers said in a statement.
Meanwhile, IndiGo shares fell 1.21 percent to Rs 2,100 a share on the BSE.
