SpiceJet records 12th consecutive profitable quarter

posted on 9th February 2018 by Jordan Newton
SpiceJet records 12th consecutive profitable quarter

Indian carrier SpiceJet recorded its 12th consecutive profitable quarter as it reported a profit of Rs239.99 crore ($37.2 million) for the three months ending 31 December.

This was up on the Rs181.14 crore that the Delhi-based airline achieved in the same quarter last year as profits grew by 32 per cent against a capacity growth of 14 per cent against the same quarter last year.

The strong quarterly results were aided by a higher passenger load factor and a healthy increase in passenger yields despite a substantial rise of 17 per cent in crude oil prices, a one-time expense of Rs25 crores and an inflationary increase of three per cent in other costs.

The company witnessed a 14 per cent increase in its passenger yields (revenue per available seat kilometre) while its average domestic load factor was 95 per cent. SpiceJet has recorded more than 90 per cent load factor for 33 successive months.

In the October-December quarter, SpiceJet became the only airline to commence daily direct operations from Ahmedabad-Bangkok.

It was also the only carrier to introduce daily non-stop flights on the Delhi-Jodhpur, Jaipur-Jodhpur, Ahmedabad-Varanasi, Kolkata–Jabalpur, Bengaluru–Puducherry and Bengaluru-Bagdogra sectors.

Before December 2018, SpiceJet plans to add 12-15 Boeing 737 aircraft and six to nine Bombardier Q400 aircraft to its existing fleet of 38 Boeing and 22 Bombardier Q400 aircraft.

The new generation Boeing 737 Max aircraft will start delivering from August 2018 that will reduce the overall costs by around eight to nine per cent on each aircraft.