IndiGo parent InterGlobe posts Rs 1,879 crore Q2 net loss

IndiGo reports Rs 1,879 crore loss in Q2 as higher fuel costs, weak rupee hit earnings

New Delhi, October 29

The airline had reported a net loss of Rs 2,582.1 crore in the corresponding quarter of the previous financial year.

According to the company's financial results, revenue from operations increased 25.9 per cent year-on-year to Rs 23,363.8 crore, compared with Rs 18,555.3 crore in the same quarter last year.

"Exceptionally high fuel costs and rupee depreciation, however, weighed on profitability, resulting in a net loss of INR 19 billion," IndiGo said in its earnings release.

The airline's fuel expenses rose 67.2 per cent to Rs 9,966.8 crore during the quarter, compared with Rs 5,961.8 crore a year earlier. Total expenses increased 18.6 per cent to Rs 26,188.4 crore.

IndiGo CEO Willie Walsh said the September quarter was affected by elevated fuel prices and geopolitical developments.

"The seasonally soft September quarter saw exceptionally elevated fuel costs and continued geopolitical turmoil. We responded with prudent capacity reduction and yield management, supporting strong revenue performance but only partially offsetting the higher costs," Walsh said.

The airline's net loss excluding foreign exchange impact stood at Rs 723.7 crore, compared with a profit of Rs 103.9 crore in the corresponding quarter last year.

Passenger traffic declined 4.7 per cent year-on-year to 27.5 million during the quarter, while capacity fell 1 per cent to 40.8 billion available seat kilometres (ASKs).

However, passenger yield increased 34.3 per cent to Rs 6.30 per kilometre, compared with Rs 4.69 a year earlier. The passenger load factor declined to 80.3 per cent from 82.5 per cent.

IndiGo's earnings before interest, tax, depreciation, amortisation and aircraft rentals (EBITDAR) stood at Rs 2,459.9 crore, compared with Rs 1,114.3 crore in the year-ago quarter.

As of September 30, 2026, IndiGo had a total cash balance of Rs 52,685.4 crore and a fleet of 442 aircraft.

Looking ahead, the airline expects capacity growth in the early single digits in the October-December quarter of FY27 compared with the corresponding period last year.

"We remain focused on managing the near-term challenges while continuing to invest for the future. India's long-term aviation opportunity remains compelling, and our priorities remain clear: safe and reliable operations, rigorous cost discipline, and disciplined growth that creates sustainable value," Walsh said.

— ANI