InterGlobe Aviation's net profit quadruples in Q2
Net profit came in at 5.52 billion rupees ($85.26 million during the quarter ended Sept. 30 while revenue from operations grew about 27% to 52.91 billion rupees.
InterGlobe Aviation, the owner of India`s biggest airline IndiGo, reported an almost four-fold rise in quarterly profit, helped by higher passenger revenue and credits received from Pratt & Whitney and Airbus on aircraft groundings and delivery delays.
Net profit came in at 5.52 billion rupees ($85.26 million) during the quarter ended September 30,2017 while revenue from operations grew about 27% to 52.91 billion rupees.
InterGlobe reported its best ever September-quarter profit - usually a weak period for airlines in the country due to fewer holidays falling in that time.
The company said its revenue per available seat kilometre - a measure of its operating earnings - rose about 13% to 3.52 rupees. Passenger yields, which measure the average fare paid per mile per customer, climbed 9%.
In July, InterGlobe Aviation warned that delays in deliveries of Airbus` A320neo aircraft, due to issues with the new Geared Turbofan (GTF) engines, were affecting margins, adding it was having to lease planes to make up the shortfall.
Earlier in October a source told Reuters that Pratt & Whitney, which makes the GTF engines, was close to coming up with a fix for those problems.
IndiGo and privately-owned GoAir are among the biggest customers for the A320neo planes, owning about 30 between them with around 500 on order.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Retirement Planning: SIP+SWP combination; Rs 15,000 monthly SIP for 25 years and then Rs 1,52,000 monthly income for 30 years
Top Gold ETF vs Top Large Cap Mutual Fund 10-year Return Calculator: Which has given higher return on Rs 11 lakh investment; see calculations
Retirement Calculator: 40 years of age, Rs 50,000 monthly expenses; what should be retirement corpus and monthly investment
SBI 444-day FD vs Union Bank of India 333-day FD: Know maturity amount on Rs 4 lakh and Rs 8 lakh investments for general and senior citizens
EPF vs SIP vs PPF Calculator: Rs 12,000 monthly investment for 30 years; which can create highest retirement corpus
Home loan EMI vs Mutual Fund SIP Calculator: Rs 70 lakh home loan EMI for 20 years or SIP equal to EMI for 10 years; which can be easier route to buy home; know maths
04:57 PM IST