Latest news with #GauravNegi
Time of India
23-05-2025
- Business
- Time of India
As IndiGo planes return, change in fares on horizon
IndiGo is expected to bring most of its grounded aircraft back into service by early next year, increasing its active fleet count by nearly 80 planes in FY26—double the average 40 aircraft it adds each year—a person aware of the development said. Analysts said this could lead to softening of airfares, which have remained high due to shortage in supply of aircraft, but industry executives said the impact on fares may be limited as part of the increased capacity would be diverted to new and international routes. India's largest airline currently has a fleet of 434 active aircraft. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Play War Thunder now for free War Thunder Play Now Undo Around 70 IndiGo aircraft were grounded starting December 2023 after US-based RTX, which makes the Pratt & Whitney engine, found that there was a contamination of powder metal used to make the engine—a defect that could lead to the cracking of components. Live Events Currently, the airline has around 40 aircraft on ground, as its chief financial officer Gaurav Negi told analysts at its March quarter earnings call on Pratt's supply chain improving significantly and engines staying on wing without requiring repairing longer than initially anticipated, 'it is expected that all aircraft will be out of grounding by the end of this year or early next year,' the person cited on top said. Around 30 of these planes will join the airline's fleet while 10 will be returned to lessors as their lease period will be over. 'Along with the new addition, it will be a good boost to capacity,' the person added. This year, IndiGo has so far added 14 new aircraft while it has returned around 11 planes to lessors. 'There will be a gradual easing of capacity crunch as these planes come back and new planes are added,' an analyst tracking the sector said on condition of anonymity. A spokesperson for IndiGo didn't reply to queries on the number of planes the airline will add but redirected to the latest capacity guidance. DELIVERY DELAYS CFO Negi told analysts that in FY26, the airline expects its capacity to grow by early double digits as compared to FY 25 while for the first quarter of FY 26, it expects capacity growth of mid-teens compared to the same period last year.
Economic Times
22-05-2025
- Business
- Economic Times
IndiGo shares in focus after profit jumps 62% YoY to Rs 3,067 crore on wedding, Maha Kumbh boost
IndiGo's net profit surged 62% to Rs 3,067 crore in Q4, driven by travel demand. Revenue rose 24% to Rs 22,152 crore. The airline reported a full-year net profit of Rs 7,258 crore. IndiGo will launch flights to Amsterdam and Manchester using leased Boeing 787s. Ticket cancellations due to geopolitical tensions are reversing. The number of grounded planes is decreasing. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Shares of IndiGo will be in focus on Thursday after the airline posted a 62% year-on-year jump in net profit to Rs 3,067 crore for the March quarter, driven by strong travel demand during the Maha Kumbh Mela and wedding season. This marks the airline's second-highest quarterly company reported revenue from operations of Rs 22,152 crore, which was up by 24% from Rs 17,825 crore in the corresponding quarter of the last financial the full fiscal year ended March 31, IndiGo reported a net profit of Rs 7,258 crore, down 11% from the previous year. The board has declared a dividend of Rs 10 per share."It was an exceptionally strong fourth quarter with strong demand, a good execution of our strategy and some events like the Maha Kumbh obviously helping the performance," said Pieter Elbers, CEO of IndiGo. "Our sustained performance is the result of record passenger volumes, operational efficiencies, agility and commitment demonstrated by IndiGo employees."IndiGo's yields-a metric of profitability-increased 2.4% on-year to Rs 5.32 per kilometre last quarter. Passenger load factor improved by 1.1 percentage points to 87.4%.However, the airline has been impacted by geopolitical tensions between India and Pakistan. It faced large scale ticket cancellations when India shut 32 airports earlier this month due to the conflict with financial officer Gaurav Negi said the trend of cancellations has started to reverse and he expects the upcoming summer holidays to further drive passenger traffic."All these airports have opened up and we think that the peak of the cancellations have happened, but the trend has started to reverse after the geopolitical events," Negi said in a post-results call with also announced flights to Amsterdam and Manchester from July-its maiden foray into long-haul flying-using Boeing 787 aircraft leased from European carrier Norse Atlantic. Till now, IndiGo's network remains limited in domestic and up to six hours of flights to international said the onboard experience will be noticeably different from a typical no-frills IndiGo passengers, regardless of cabin, will receive two sets of complementary hot meals-a first for the carrier. In IndiGo Stretch premium cabin, passengers will get complimentary lounge highlighted that IndiGo is pushing into longer-haul markets. "Indian operators' share was in the mid-30s till a few years ago. Over the last few years, this share has gone up to 45-46%," he said, citing regional expansion as the primary driver. "That is why we are now starting flights to destinations like Manchester."Meanwhile, the fleet of IndiGo's grounded planes due to issues with Pratt and Whitney engines has also reduced, after peaking at the mid-70s in Q2FY25, before falling to 50s in Q4. Currently, the number stands at 40s. With return of the aircraft, IndiGo will be able to phase out aircraft taken on higher lease rentals, improving cost efficiency, Negi to Trendlyne, IndiGo has an average target price of Rs 5,608, indicating a 3% upside from current levels. The stock holds a 'Buy' rating based on recommendations from 21 analysts.: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Time of India
22-05-2025
- Business
- Time of India
IndiGo shares in focus after profit jumps 62% YoY to Rs 3,067 crore on wedding, Maha Kumbh boost
Shares of IndiGo will be in focus on Thursday after the airline posted a 62% year-on-year jump in net profit to Rs 3,067 crore for the March quarter, driven by strong travel demand during the Maha Kumbh Mela and wedding season. This marks the airline's second-highest quarterly profit. The company reported revenue from operations of Rs 22,152 crore, which was up by 24% from Rs 17,825 crore in the corresponding quarter of the last financial year. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Vietnam: Unsold Sofas at Bargain Prices (View Current Prices) Sofas | Search Ads Search Now Undo For the full fiscal year ended March 31, IndiGo reported a net profit of Rs 7,258 crore, down 11% from the previous year. The board has declared a dividend of Rs 10 per share. "It was an exceptionally strong fourth quarter with strong demand, a good execution of our strategy and some events like the Maha Kumbh obviously helping the performance," said Pieter Elbers, CEO of IndiGo. "Our sustained performance is the result of record passenger volumes, operational efficiencies, agility and commitment demonstrated by IndiGo employees." IndiGo's yields-a metric of profitability-increased 2.4% on-year to Rs 5.32 per kilometre last quarter. Passenger load factor improved by 1.1 percentage points to 87.4%. Live Events However, the airline has been impacted by geopolitical tensions between India and Pakistan. It faced large scale ticket cancellations when India shut 32 airports earlier this month due to the conflict with Pakistan. Chief financial officer Gaurav Negi said the trend of cancellations has started to reverse and he expects the upcoming summer holidays to further drive passenger traffic. "All these airports have opened up and we think that the peak of the cancellations have happened, but the trend has started to reverse after the geopolitical events," Negi said in a post-results call with analysts. IndiGo also announced flights to Amsterdam and Manchester from July-its maiden foray into long-haul flying-using Boeing 787 aircraft leased from European carrier Norse Atlantic. Till now, IndiGo's network remains limited in domestic and up to six hours of flights to international destinations. Executives said the onboard experience will be noticeably different from a typical no-frills IndiGo flight. All passengers, regardless of cabin, will receive two sets of complementary hot meals-a first for the carrier. In IndiGo Stretch premium cabin, passengers will get complimentary lounge access. Elbers highlighted that IndiGo is pushing into longer-haul markets. "Indian operators' share was in the mid-30s till a few years ago. Over the last few years, this share has gone up to 45-46%," he said, citing regional expansion as the primary driver. "That is why we are now starting flights to destinations like Manchester." Meanwhile, the fleet of IndiGo's grounded planes due to issues with Pratt and Whitney engines has also reduced, after peaking at the mid-70s in Q2FY25, before falling to 50s in Q4. Currently, the number stands at 40s. With return of the aircraft, IndiGo will be able to phase out aircraft taken on higher lease rentals, improving cost efficiency, Negi said. Also Read: RIL, SBI among 10 stocks with more than 32 buy calls IndiGo share price target According to Trendlyne, IndiGo has an average target price of Rs 5,608, indicating a 3% upside from current levels. The stock holds a 'Buy' rating based on recommendations from 21 analysts. ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Time of India
21-05-2025
- Business
- Time of India
IndiGo profit soars 62% in Q4 on wedding, Maha Kumbh tailwinds
IndiGo , India's largest airline, posted a 62% on-year rise in net profit at ₹3,067 crore in the March quarter, fuelled by a travel boom due to the Maha Kumbh mela and wedding season. It was the second-highest quarterly profit for the budget airline. For the fiscal year ended March 31, IndiGo reported a 11% decline in net profit at ₹7,258 crore. The company's board announced a dividend of ₹10 per share. "It was an exceptionally strong fourth quarter with strong demand, a good execution of our strategy and some events like the Maha Kumbh obviously helping the performance," said Pieter Elbers , CEO of IndiGo. "Our sustained performance is the result of record passenger volumes, operational efficiencies , agility and commitment demonstrated by IndiGo employees." Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Why Portable Air Conditioners Without External Units Are a Game-Changer in the Philippines Air Condition | Search Ads Search Now Undo IndiGo's yields-a metric of profitability-increased 2.4% on-year to ₹5.32 per kilometre last quarter. Passenger load factor improved by 1.1 percentage points to 87.4%. However, the airline has been impacted by geopolitical tensions between India and Pakistan. It faced largescale ticket cancellations when India shut 32 airports earlier this month due to the conflict with Pakistan. Live Events Chief financial officer Gaurav Negi said the trend of cancellations has started to reverse and he expects the upcoming summer holidays to further drive passenger traffic. "All these airports have opened up and we think that the peak of the cancellations have happened, but the trend has started to reverse after the geopolitical events," Negi said in a post-results call with analysts. IndiGo also announced flights to Amsterdam and Manchester from July-its maiden foray into long-haul flying-using Boeing 787 aircraft leased from European carrier Norse Atlantic . Till now, IndiGo's network remains limited in domestic and up to six hours of flights to international destinations. Executives said the onboard experience will be noticeably different from a typical no-frills IndiGo flight. All passengers, regardless of cabin, will receive two sets of complementary hot meals-a first for the carrier. In IndiGo Stretch premium cabin, passengers will get complimentary lounge access. Elbers highlighted that IndiGo is pushing into longer-haul markets. "Indian operators' share was in the mid-30s till a few years ago. Over the last few years, this share has gone up to 45-46%," he said, citing regional expansion as the primary driver. "That is why we are now starting flights to destinations like Manchester." Meanwhile, the fleet of IndiGo's grounded planes due to issues with Pratt and Whitney engines has also reduced, after peaking at the mid-70s in Q2FY25, before falling to 50s in Q4. Currently, the number stands at 40s. With return of the aircraft, IndiGo will be able to phase out aircraft taken on higher lease rentals, improving cost efficiency, Negi said.
Business Recorder
21-05-2025
- Business
- Business Recorder
IndiGo hopes bookings will recover in June after Pakistan, India conflict
India's top airline IndiGo is hoping bookings will rebound in June, after demand for some routes took a sharp hit during the worst fighting between Pakistan and India in decades. 'Following the geopolitical disruptions, between April 22 to a few days back, we have seen some impact on our overall revenue due to increase in cancellations and impact on booking trends,' IndiGo's chief financial officer, Gaurav Negi, said in an analyst call on Wednesday. 'Hopefully, we will have a strong June.' The disruptions during the nearly month-long period impacted about 34 IndiGo flights out of its 2,200 daily departures. Ties between Pakistan and India nosedived after a deadly attack in Indian Illegally Occupied Jammu and Kashmir (IIOJK) last month that New Delhi said was backed by Islamabad. The tensions had triggered airport closures across north-west India, including IIOJK, Srinagar and Amritsar, and led to Pakistani airspace being shut to Indian carriers. Pakistan reopens airspace for all flights after temporary closure: PAA Negi's comments came after the company reported a 62% jump in fourth-quarter profit on Wednesday - its first quarterly profit rise in four - helped by robust demand for domestic air travel. Asia's most valuable airline by market capitalisation also reported full-year revenue north of $10 billion for the second year in a row. The company, which has more than 400 aircraft, expects first-quarter capacity - measured in available seat kilometres - to grow in the mid-teens percentage range from a year earlier. It will begin its long-haul services from Mumbai to Manchester and Amsterdam by July using Boeing 787 jets leased from Norway's Norse Atlantic. IndiGo's shares closed 0.4% higher ahead of its quarterly results. They gained 12% in the quarter ended March 31.
