Country’s largest airline in terms of fleet size and market share, IndiGo, has released its quarter results for Q1 FY2024 and revealed that it has posted the highest-ever quarterly revenue and net profit during the first four months of the year.
Before the earnings call scheduled on Wednesday evening, IndiGo announced that it has reported quarterly revenue of INR 171,609 million and highest ever quarterly net profit of INR 30,906 million. “This reflects strong operational performance, execution of our strategy and favourable market conditions,” the airline added in its statement.
In Q1, FY 2023, the airline had reported a net loss of INR 10,643 million.
For the quarter ended on June 30, 2023, the budget airline’s passenger numbers increased by 30.1 per cent to 26.2 million in comparison to same period last year. Capacity increased by 18.8 per cent to 32.7 billion while revenue from operations increased by 29.8 per cent to INR 166,831 million.
However, the airline’s yield declined by 1.2 per cent to INR 5.18 and load factor improved by 9 pts to 88.6 per cent. The airline also added 12 aircraft to its fleet during the quarter, taking the total number of plans in its fleet to 316.
The Indian carrier faced a fine of INR 30 lakh from the Directorate General of Civil Aviation after a special audit exposed “systemic deficiencies” in documentation and procedures related to tail strike incidents. The airline asserted compliance with OEM guidelines and regulatory manuals. IndiGo, known for its rapid growth, plans to review the DGCA’s order within a month.
Commenting on the results, Pieter Elbers, CEO, IndiGo said, “I am pleased to report a solid start to the year building on the positive momentum from the last two quarters. We produced strong operational performance and welcomed the highest number of quarterly passengers which enabled us to generate the highest ever quarterly revenue and net profit for the quarter ended June 2023. During this quarter, we placed a new order for 500 aircraft that takes our outstanding order book to c.1,000 aircraft and further strengthens our position for future growth.”Total income for the quarter ended June 2023 was INR 171,609 million, an increase of 31.8 per cent over the same period last year. For the quarter, IndiGo’s passenger ticket revenues were INR 149,956 million, an increase of 30.8 per cent, and ancillary revenues were INR 15,484 million, an increase of 20.4 per cent compared to the same period last year.
The airline is expecting an increase in ASK by 25 per cent in the second quarter fiscal year 2024 capacity in comparison to the second quarter of fiscal year 2023.
