Higher fuel costs push IndiGo to bigger loss in Q4

May 25, 2022

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BENGALURU: InterGlobe Aviation, the operator of India’s largest airline IndiGo, reported a bigger loss for the fourth quarter on Wednesday as increased gasoline prices greater than offset a rebound in demand for air journey.
After two years of pandemic-curtailed journey, airways globally have made a comeback in latest months driving on a wave of pent-up demand that has inspired them to bump up capability.
However the business’s restoration faces dangers from a surge in world jet gasoline costs, which neared 14-year highs within the quarter after the Russian invasion of Ukraine.
“Though visitors rebounded and demand was sturdy throughout the latter half of the quarter, we had been challenged by excessive gasoline prices and a weakening rupee,” chief govt Ronojoy Dutta stated in an announcement.
InterGlobe’s plane gasoline bills soared 68.2% to Rs 3,221 crore ($415.31 million) within the interval, whereas complete bills surged 31.5%.
Web loss got here in at Rs 1,680 crore for the three months ended March 31, in contrast with a lack of Rs 1,159 crore a yr earlier.
Nevertheless, the resurgence in air journey demand helped income from operations leap 29% to Rs 8,021 crore. Passenger load issue, or the passenger carrying capability getting used, rose to 76.7%.
Yields, a metric of profitability, elevated 19.2% to Rs 4.40.



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