Looks like days have changed for Indigo as the company posted a record quarterly profit of Rs 1200 crore. The results have come at the time period when the famous Jet Airways collapsed. Not only Indigo, but Jet Airways bankruptcy has also helped other companies including Interglobe and its peer SpiceJet Ltd. Note that, IndiGo is now India’s largest airline by market capitalisation.
Interglobe is expecting its available seat kilometres (ASK) to grow 30% in the financial year ending March 2020 with a 28% jump in the current quarter. Right now, the company is in the middle of a spat between its co-founders.
Indigo’s net profit for the 3 months ended June 30 increased to over 12 billion rupees ($174.29 million) from 277.9 million rupees a year ago. However, Revenue rose 45% to 94.2 billion rupees. IndiGo’s average passenger fare per kilometer, rose 12.8% during the quarter, reflecting the rising passenger preference for the airline, while its ASK rose 30.3% during the period.
It looks like Jet Airways failure is helping other companies to bounce back in this difficult market.
