IndiGo reports Rs 3,091 cr profit in Q1FY24; revenue from ops grows to Rs 16,683 cr

The company posted a profit of Rs 3,090.6 crore, a significant improvement compared to a net loss of Rs 1,064 crore in the same period the previous year.

The surge in revenue was a key driver of this turnaround, with IndiGo's revenue from operations rising by 29.8 percent to Rs 16,683.1 crore, compared to Rs 12,855 crore in the corresponding period last year.

This growth was primarily fuelled by a sharp increase in domestic travel, as demand for domestic flights in India continued to rise steadily over the past 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," CEO Pieter Elbers said.

The CEO mentioned that during the first quarter of the fiscal year 2023-24, IndiGo made a fresh order for 500 aircraft, bringing their total outstanding order book to approximately 1,000 aircraft.

This substantial order further solidifies the company's position for future expansion and growth.

Regarding the financial performance for the quarter, IndiGo reported passenger ticket revenues of Rs 1668.31 crore, representing a notable increase of 29.8 percent compared to the previous year.

Ancillary revenues reached Rs 47.78 crore, nearly tripling in comparison to the same period last year.

These impressive revenue figures reflect the airline's ability to leverage both core ticket sales and additional ancillary services to drive growth and profitability.

During the June quarter, InterGlobe Aviation, the parent company of IndiGo, reported a significant improvement in its operating performance.

The EBITDAR profit (consolidated operating profit) for the quarter was Rs 5210.9 crore, a substantial increase compared to Rs 716.9 crore in the same period last year.

The airline witnessed robust growth in its key operational metrics.

Available seat kilometres rose by 19 percent year-on-year to 32.7 billion, and revenue passenger kilometres surged by 32 percent to 29 billion.

IndiGo also achieved a higher load factor, with 88.6 percent of seats occupied by passengers at the end of the June quarter, compared to 79.6 percent in the same period last year.

However, the operating performance was affected by the surge in fuel costs, resulting in a revenue per available seat kilometre (ASK) of Rs 5.12, while the cost per ASK stood at Rs 4.17.

IndiGo's yield per passenger slightly declined from Rs 5.24 to Rs 5.18 in the June quarter.

Despite the challenges, the company managed its debt and cash positions well. Total debt rose by 18 percent year-on-year to Rs 46,291.9 crore, while total cash increased by 43.7.