Mumbai: InterGlobe Aviation-run IndiGo on Wednesday reported a massive spike in September quarter net at Rs 551.5 crore boosted by a one-time payment towards engine issues and delayed aircraft deliveries and higher margins.
The largest airline that controls over 38 per cent of the domestic air passenger market had reported a 139.8 crore net income in the corresponding quarter last fiscal year.
For the reporting quarter, net soared 294.4 per cent. The airline said the bottom line was boosted by a massive 710 bps spike in profit margins to 10.4 per cent from 3.4 per cent a year ago.
"Profitability was favourably impacted by better revenue management and credit received from manufacturers related to aircraft grounding and delivery delays," the airline said in an exchange filing without disclosing the quantum of payments it has received from Airbus for delayed deliveries of A320 Neos and also from the American engine maker Pratt & Whitney.
However, it said its other income rose over 33.5 per cent to Rs 214.6 crore.
IndiGo has been facing problem with aircraft engines supplied by P&W in its A320 Neos for quite some time, which also led to grounding of as many as eight aircraft since June.
Indigo deploys only Airbus planes. On top of it, the plane- maker Airbus has been unable to meet delivery of some of these A320 Neos on time too.
The airline operates a fleet of 141 aircraft including 24 A320 Neos. It had placed an order for over 430 aircraft some of which have been delivered.
Its income from operations jumped 27 per cent to Rs 5,291 crore, while other income rose 33.5 per cent to Rs 214.5 crore from Rs 160.7 crore, taking the total revenue to Rs 5,505.6 crore up 27.2 per cent from Rs 4,327.7 crore.
The load factor rose 180 bps to 84 per cent while the yield rose 8.9 per cent to Rs 3.57 from Rs 3.28.
With an average ATF price of Rs 50.17 which is 2.5 per cent up over Rs 48.96 a year ago, fuel expenses rose 6.1 per cent to Rs 1,647.3 crore while aircraft and engine rentals also rose at a similar quantum to Rs 819.3 crore.
Other expenses jumped 31.6 per cent to Rs 1,455 crore while finance cost rose over 40.5 per cent to Rs 85.7 crore.
Its cash balance rose 88.5 per cent to Rs 12,92.56 crore from Rs 685.72 crore while debt declined by 7.5 per cent to Rs 253.68 crore from Rs 274.28 crore.
