InterGlobe Aviation Ltd, which operates IndiGo, India’s leading low-cost airline, has announced its first quarter results for fiscal year 2025, showcasing a strong performance with substantial growth in income and passenger numbers.
For the quarter ended June 30, 2024, IndiGo reported a total income of INR 202.5 billion, an 18 per cent increase compared to the same period last year. The airline’s net profit stood at INR 27.3 billion, reflecting a solid margin of around 14 per cent.
The airline has seen steady growth in its latest financial quarter. The airline’s capacity rose by 11.1 per cent, reaching 36.3 billion. The number of passengers increased by 6.2 per cent, totaling 27.8 million. Revenue from operations jumped 17.3 per cent to INR 195.7 billion. However, total expenses climbed by 24 per cent due to higher fuel and operational costs.
IndiGo’s passenger ticket revenues reached INR 165.0 billion, representing a 10 per cent increase. Ancillary revenues, which come from services like baggage fees and in-flight sales, grew by 13.9 per cent to INR 17.6 billion. These gains helped boost the company’s overall revenue.
The airline also saw changes in its operational metrics. IndiGo achieved an EBITDAR (Earnings Before Interest, Taxes, Depreciation, Amortization, and Rent) of INR 58.1 billion. This resulted in a margin of 29.7 per cent, slightly down from last year’s 31.2 per cent. The load factor, which measures how full flights are, dropped by 1.9 points to 86.7 per cent.
Costs played a big role in the latest figures. IndiGo’s total expenses rose to INR 174.4 billion, marking a 24 per cent increase. Fuel costs and other operational expenses were the main drivers of this rise.
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IndiGo Airlines showed strong growth in passenger numbers and revenue. But, it also faced higher costs that affected its profit margins. The airline continues to navigate these challenges as it looks to the future.Commenting on the results, Pieter Elbers, CEO, IndiGo, expressed his satisfaction with the quarterly performance, stating, “We are pleased to report another strong quarterly financial performance for the first quarter of FY 2025. The continued growth in total income and net profit underscores our commitment to providing exceptional service and value to our customers. As we approach our 18th anniversary, we are excited to unveil new initiatives that address market developments and customer feedback.”
IndiGo’s fleet expanded to 382 aircraft, including new additions like A320 NEOs and A321 freighters. The airline operated a peak of 2,029 daily flights, covering 88 domestic and 30 international destinations.
Moving forward, IndiGo anticipates continued growth, with capacity expected to increase by high single digits in the second quarter of FY 2025 compared to the same period last year.
- Published On Jul 27, 2024 at 12:47 AM IST