InterGlobe Aviation Ltd, which operates IndiGo, reported a consolidated net loss of ₹2,536.9 crore in the March quarter, as a steep foreign-exchange loss, exceptional items and higher operating costs outweighed a modest rise in revenue. For the full year ended March 2026, the airline reported a net loss of ₹2,393.6 crore, even as total income rose 6.4% to ₹89,513.4 crore.

Q4 performance

Revenue from operations rose 1.3% year-on-year to ₹22,438.4 crore in Q4 FY26, while total income increased 3.2% to ₹23,830.7 crore. Total expenses jumped 30.1% to ₹25,932.5 crore, pulling the company into a quarterly pre-tax loss of ₹2,351.7 crore.

EBITDAR fell to ₹2,227.8 crore from ₹6,948.2 crore a year earlier, with EBITDAR margin contracting to 9.9% from 31.4%. Excluding forex impact, EBITDAR was ₹6,435.4 crore, compared with ₹6,861.8 crore in Q4 FY25.

Full-year picture

For FY26, revenue from operations increased to ₹84,961.9 crore from ₹80,802.9 crore a year earlier, while total income rose to ₹89,513.4 crore from ₹84,098.2 crore. Total expenses climbed to ₹89,677.5 crore, leaving the airline with a pre-tax loss of ₹1,960.5 crore and a net loss of ₹2,393.6 crore.

On an adjusted basis, excluding forex and exceptional items, IndiGo reported a FY26 profit of ₹7,502.5 crore, compared with ₹8,867.6 crore in FY25. The company said the year was hit by an “exceptionally challenging operating environment”, sharp rupee depreciation and changes in labour laws.

What hurt earnings

Foreign-exchange losses were the biggest swing factor. IndiGo reported a net foreign exchange loss of ₹4,822.9 crore in Q4 FY26 versus a gain of ₹136.6 crore in Q4 FY25, and a net forex loss of ₹8,975.7 crore for FY26 versus a loss of ₹1,617.9 crore in FY25.

The company also booked exceptional items of ₹249.9 crore in Q4 FY26 and ₹179.64 crore for the full year. These related to the new labour codes and operational disruptions in December 2025, including customer compensation, travel vouchers, a penalty from the DGCA and other associated costs.

Management commentary

Chairman and MD Rahul Bhatia said FY26 was marked by an “exceptionally challenging operating environment” that materially affected profitability, but said the underlying business remained resilient. He added that, despite volatility, the airline maintained a strong balance sheet and substantial liquidity.

Bhatia said, “While the near term remains volatile, we remain firmly focused on disciplined execution, cost efficiency, and long-term value creation.” He also said the company delivered a profit of ₹750 billion excluding forex and exceptional items for FY26.

Operating trends

Quarterly capacity rose 3.4% to 43.6 billion ASKs, while annual capacity grew 9.5% to 172.4 billion ASKs. Passenger traffic fell 1.1% in Q4 to 3.16 crore, but rose 4.0% for the year to 12.34 crore.

Load factor slipped to 85.8% in Q4 from 87.4%, and full-year load factor eased to 84.4% from 86.0%. Yield also softened, with Q4 yield down 2.2% to ₹5.20 and full-year yield down 1.7% to ₹5.06.

Cash and fleet

IndiGo ended March 2026 with total cash of ₹51,650.6 crore, including ₹36,216.3 crore of free cash and ₹15,434.3 crore of restricted cash. Total debt, including capitalized operating lease liability, stood at ₹77,749.2 crore.

The airline’s fleet rose to 441 aircraft from 434 a year earlier, with one net aircraft addition during the quarter. IndiGo said it operated at a peak of 2,241 daily flights in the quarter and served 97 domestic and 45 international destinations.

Cost pressure

Quarterly fuel expense stood at ₹6,650.3 crore, slightly lower than a year ago, but other costs excluding fuel surged to ₹19,282.2 crore. For the full year, fuel cost declined to ₹25,389.2 crore, while other costs excluding fuel rose sharply to ₹64,288.3 crore.

The company said CASK ex fuel ex forex rose 7.3% in Q4 to ₹3.15 and 3.8% in FY26 to ₹3.00, underscoring pressure from costs outside fuel and currency.

IndiGo said it expects first-quarter FY27 capacity to grow around 3% to 4% year-on-year. The company also highlighted awards, route expansion and a network that now spans 670+ direct routes, with 520+ domestic and 150+ international destinations.

The board separately approved a partial prepayment of finance-lease obligations of up to $450 million to a wholly owned subsidiary, while the annual general meeting has been scheduled for August 20, 2026.

Shares of InterGlobe Aviation ended 3.28% lower at ₹4,420 apiece on the NSE on Friday. The stock has declined nearly 17% during the past year, underperforming the benchmark Nifty 50 index that has slipped 5% during the same period.