IndiGo Q1 results: Airline reports highest quarterly profit, yields jump 13%

Mumbai: InterGlobe Aviation, the operator of low-cost airline IndiGo, reported the highest ever quarterly profit at Rs 1,203 crore in Q1FY20, 43 times higher than the profit in the year-ago period which stood at Rs 27.8 crore.

Revenue from operations during the quarter ended June 2019 was at Rs 9,420.1 crore, a 44.7 percent YoY growth as available seat kilometre (ASK) and revenue passenger kilometre (RPK) grew 30 percent YoY, respectively.

At operating level, earnings before interest, tax, depreciation, amortisation and aircraft & engine rentals (EBITDAR) in Q1 grew by 146 percent to Rs 2,779 crore and margin expanded 1,210bps to 29.5 percent compared to year-ago despite 22 percent increase in total expenses YoY.

The company in its BSE filing said yield in June quarter increased by 12.8 percent to Rs 4.08 per kilometer and revenue per available seat kilometre (RASK) grew by 10.7 percent to Rs 4.10.

The fuel price per litre declined by 1.2 percent to Rs 66.20, it added.

InterGlobe said total cash on its book of Rs 17,337.1 crore increased by 31.3 percent YoY while debt increased by 630.8 percent to Rs 18,430.9 crore in Q1.

With effect from 1st April 2019, the company has capitalised its operating leases in accordance with Ind AS 116.

On guidance front, the company said year-on-year capacity increase in ASKs is expected to be 30 percent for FY20 and for Q2FY20, YoY capacity increase in ASKs is expected to be 28 percent.The stock closed at Rs 1,463.35, up Rs 4.70, or 0.32 percent on July 19 ahead of earnings.