Newsletter
IndiGo parent InterGlobe Aviation reported a disappointing set of Q4 results, missing market expectations and posting a big loss.
By the numbers:
Net loss: ₹2,536 crore, compared to a profit of ₹3,067 crore a year ago
Revenue: up just 1.3% YoY to ₹22,438 crore
EBITDA margin: fell sharply to 9.9% from 31.4%
What went wrong: a major hit came from currency fluctuations. The airline reported a ₹4,823 crore loss from exchange rate movements, compared to a ₹137 crore gain a year ago.
Also, the airline spent much of the past year dealing with operational disruptions, regulatory scrutiny and rising costs. Fresh geopolitical tensions & airspace disruptions added more fuel to the pressure.
The headwinds: passenger numbers rose 1.1% to 31.6 million, while capacity increased 3.4% year-on-year.
InterGlobe Aviation shares ended 3.3% lower ahead of the results announcement. The stock has fallen over 24% over the past six months and is down 17% so far this year.
