IndiGo Q4 Results: Net profit at Rs 919 crore, better than analysts' estimates

IndiGo Q4 results: Interglobe Aviation — the owner and operator of airline IndiGo — on Thursday reported a net profit of Rs 919.2 crore for the quarter ended March 2023, marking a sequential fall of 35.4 per cent but better than analysts' estimates. It was IndiGo's highest profit ever in a March quarter. 

The company's revenue shrank 5.2 per cent to Rs 14,160.6 crore compared with the previous quarter, according to a regulatory filing.  

According to Zee Business research, Interglobe Aviation's quarterly net profit was estimated at Rs 872.9 crore and revenue at Rs 13,736.4 crore.

Interglobe Aviation reported Rs 2,966.5 crore in earnings before interest, taxes, depreciation, amortization and restructuring or rent costs (EBITDAR), a decline of 12.7 per cent on a quarter-on-quarter basis. The Zee Business analysts had pegged the company's EBITDAR at Rs 2,652.6 crore. 

Its margin — a key measure of profitability for a business — contracted by 190 basis points sequentially to 20.9 per cent but was better than the analysts' estimate of 19.31 per cent.   

Interglobe Aviation said its net profit aggregated to Rs 666.4 crore excluding a forex gain of Rs 252.8 crore. It also said that profits in Q3 and Q4 largely compensated for the losses in the previous two quarters of the financial year 2022-23. 

The carrier's fuel cost stood at Rs 5,613 crore as average fuel prices rose 23.5 per cent, according to a statement. 

The number of passengers the airline flew increased 60.5 per cent while its capacity expanded by 49.2 per cent. 

As of March 31, the airline had a fleet of 304 aircraft, with a net increase of two aircraft during the quarter.

IndiGo shares declined 1.5 per cent to close at Rs 2,265 apiece on BSE ahead of the earnings announcement. 

Interglobe Aviation shares: Historical performance   

Interglobe shares finished the March quarter with a loss of 4.8 per cent, in line with a 4.1 per cent decline in the Nifty headline index. As of May 17, the Interglobe Aviation stock has gained nearly 36 per cent in one year, sharply outperforming a 12 per cent rise in the index. 

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