SpiceJet swings into profit in Q3; net worth turns positive for first time in a decade

Budget carrier SpiceJet reported a net profit of ₹26 crore for the quarter ended December, marking a turnaround from the year-ago quarter when it posted a loss of ₹300 crore.

The Ajay Singh-led low-cost airline’s net worth turned positive for the first time in a decade with the carrier achieving a positive net worth of ₹70 crore.

SpiceJet’s total revenue jumped by 35% to ₹1,651 crore, driven by strong passenger demand, improved yields, and enhanced operational efficiency. Passenger load factor (PLF), the airline's carrying capacity being utilised, stood at 87%. Total passenger revenue per available seat kilometre (RASK) stood at ₹4.57 in Q3 FY25.

Operating profit or earnings, before, interest, tax depreciation and amortisation came in at ₹210 crore in Q3 FY25 compared with ₹3 crore in the corresponding quarter last year.

The airline’s ₹3,000 crore Qualified Institutional Placement (QIP), which saw participation from leading global investors, has significantly strengthened its financial position. This has enabled the resolution of major legacy liabilities, fleet expansion, and accelerated operational growth, the airline said.

“This quarter’s performance is a testament to SpiceJet’s resilience and our relentless focus on financial and operational recovery. For the first time in a decade, the company has turned net worth positive – an important milestone that underscores the success of our turnaround strategy. The past is behind us, and we are now firmly focused on building a stronger, more resilient future for SpiceJet,” said Ajay Singh, chairman and managing director, SpiceJet.

“The overwhelming response to our QIP and the trust of global investors, combined with operational resilience and financial discipline, has set the stage for sustained growth.We have significantly strengthened our balance sheet, resolved key disputes, and are continuously expanding our fleet. We are in discussions with OEMs for advanced deliveries of aircraft and are actively exploring both organic and inorganic growth opportunities.”

During this year, the company has settled multiple outstanding disputes with aircraft and engine lessors, amounting to ₹1,700 crore at ₹1,233 crore, resulting in a financial benefit of ₹467 crore.

“Strong demand and effective network optimization are expected to drive a double-digit growth in RASKs during the fourth quarter of FY25 compared to the previous year. This anticipated increase will not only enhance our revenue streams but also significantly improve our cash flows, contributing to the overall financial health of the company and enabling us to invest in key initiatives,” Debojo Maharshi, chief business officer, SpiceJet, said.