India's IndiGo posts bigger loss on weaker rupee, soaring fuel costs (updated)

Jet Airways (India)

04/11/2022 11:39

(Adds details)
       BENGALURU, Nov 4 (Reuters) - InterGlobe Aviation Ltd
 INGL.NS , the operator of India's top airline IndiGo, on Friday
posted a bigger second-quarter loss due to foreign exchange
losses and higher fuel prices.
    Fuel costs more than tripled during the quarter from a year
ago period, while foreign exchange losses due to a weaker rupee
stood at 12.02 billion rupees for the quarter, the company said.
    InterGlobe expects a jump of about 25% in capacity in
available seat per kilometre in the current quarter over the
same period a year earlier.    
    Yields, a metric for profitability, rose 21% to 5.07 rupees
per kilometre from a year earlier, while the carrier's load
factor, or the passenger carrying capacity being utilized,
increased to 79.2% from 71.1%.
    "We witnessed relatively good yields with strong demand
across the network. However, fuel prices and exchange rates have
adversely impacted our financial performance," Chief Executive
Officer Pieter Elbers said in a statement. 
    The company's loss widened to 15.85 billion Indian rupees 
($192.60 million) in the July-September quarter, from 14.40
billion rupees a year earlier.
    Revenue from operations more than doubled to 124.98 billion
rupees from 56.08 billion rupees year ago.     
    The company had said in August that high fuel costs and
seasonal factors will challenge profitability in the second
quarter, although a pick up in holiday-season travel could put
it on the path to profit for the last quarter of the calendar
year.
($1 = 82.2930 Indian rupees)
 (Reporting by Nallur Sethuraman in Bengaluru; Editing by Sriraj
Kalluvila and Vinay Dwivedi)
 ((Sethuraman.NR@thomsonreuters.com; (+91 8061822737); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))