IndiGo Q3 profit doubles to ₹2,998 cr; revenue up 30%

IndiGo operator Interglobe Aviation on Friday released its December quarter earnings, which showed that its profit more than doubled, driven by higher revenue, strong demand, and higher fares in a seasonally strong period.  Ahead of Q3 results, shares of IndiGo closed 1.94% higher at ₹3,127 apiece on the BSE.

The Gurugram-based low-cost carrier reported 111% growth in net profit at ₹2,998.12 crore in Q3 FY24, against ₹1,422.6 crore in the year-ago.

The revenue from operations surged 30.3% to ₹19,452.15 crore versus ₹14,933 crore in the year ago period, the country's largest airline says in an exchange filing today.

The total income of IndiGo jumped 30.2% year-on-year (YoY) to ₹20,062 crore, including other income of ₹610 crore, from ₹15,410 crore in the corresponding period last year. For the quarter, passenger ticket revenues were ₹17,157 crore, an increase of 30.3% and ancillary revenues were ₹1,760 crore, up 23.8% compared to the same period last year.

Earnings Before Interest, Taxes, Depreciation, Amortisation, and Restructuring or Rent Costs (EBITDAR), a measure of operating profitability without rental costs, stood at ₹5,475 crore in Q3 FY24, up 61% from ₹3,399 crore in the same period last fiscal.

“With these 5 consecutive quarters of profit we continue to recover from the losses of Covid and have now become net worth positive again…This series of profitable growth is attributable to the confidence shown by passengers who chose to fly with us. We are grateful for our customers’ confidence and our thousands of employees who continue to put their best foot forward each day to serve them,” says IndiGo CEO Pieter Elbers.

“The year 2023 was marked by numerous milestones. We served 100 million plus passengers in a calendar year and joined the select club of global carriers operating at this scale. We started operating 2,000 plus daily flights to 118 destinations. Each achievement is a testament to our focused strategy, loyalty of our customers and dedication of 6E employees,” Elbers adds.

Total expenses for the quarter stood at ₹17,063.7 crore, an increase of 22% over the same quarter last year.

As of December 31, 2023, IndiGo had a total cash balance of ₹32,428 crore, comprising ₹19,199.6 crore free cash and ₹13,228.5 crore of restricted cash. The capitalised operating lease liability was ₹44,556.5 crore, while the total debt was ₹51,187.5 crore.

As per the company, it had a fleet of 358 aircraft including 31 A320 CEOs (11 damp lease), 184 A320 NEOs, 94 A321 NEOs, 44 ATRs, 3 A321 freighters and 2 B777 (damp lease) at the end of December quarter of FY24. During the quarter the carrier added 23 passenger aircraft and 1 freighter.

IndiGo operated at a peak of 2,016 daily flights during the quarter including non-scheduled flights, while it provided scheduled services to 86 domestic destinations and 29 international destinations.