IndiGo Q1 Results: Airline Logs 12 Per Cent Decline In Profit Amid Rising Costs

IndiGo Q1 Results: IndiGo's total income rose by 18 per cent to Rs 20,248.9 crore in the first quarter of the current financial year

As of the end of June, IndiGo's fleet comprised 382 planes, including 18 aircraft on wet lease.

Source : PTI

IndiGo, the country’s largest airline, clocked a nearly 12 per cent decline in its profit after tax, which stood at Rs 2,728.8 crore for the quarter ended June 2024. This drop was primarily due to higher fuel prices and other expenses that affected the airline's bottom line.

Despite the challenges, IndiGo's total income rose by 18 per cent to Rs 20,248.9 crore in the first quarter of the current financial year. However, overall expenses surged by 24 per cent to Rs 17,444.9 crore, driven largely by a 22.7 per cent increase in fuel costs, which amounted to Rs 6,416.5 crore.

For comparison, in the June quarter of 2023, IndiGo's parent company, InterGlobe Aviation, posted a profit after tax of Rs 3,090.6 crore. Excluding the impact of foreign exchange, IndiGo's profit after tax in the latest quarter was slightly higher at Rs 2,786.3 crore.

In the same quarter of the previous year, the airline's total income was Rs 17,160.9 crore, and total expenses were Rs 14,070.2 crore.

Other significant expenses included aircraft and engine rentals, which jumped to Rs 624.1 crore from Rs 194.6 crore in the corresponding period last year. The load factor, indicating seat occupancy, decreased to 86.7 per cent from 88.6 per cent year-over-year (YoY).

"I am pleased to report another strong quarterly financial performance for the first quarter of the financial year 2025," said IndiGo CEO Pieter Elbers. "A continued growth in total income of 18 per cent compared to the same period last year to Rs 202.5 billion and a net profit of Rs 27.3 billion, resulting in a solid margin of around 14 per cent."

As of the end of June, IndiGo's fleet comprised 382 planes, including 18 aircraft on wet lease.

Shares of IndiGo gained 1.37 per cent, closing at Rs 4,491.25 apiece on the BSE.