Jet Airways (India) Ltd's standalone net loss of Rs1,323cr in Q1FY19 vs. net profit of Rs53.50cr in Q1FY18

The company’s standalone revenue stood at Rs6,010.46cr, up 6.4% yoy

Aug 28, 2018 02:08 IST India Infoline Research Team

Jet Airways (India) Ltd Q1FY19

Standalone Results Q1FY19: (Rs. in cr)

Q1FY19 YoY (%)
Revenue 6,010.46 6.4
EBITDA -1,018.49 -
EBITDA Margin (%) -16.95 -
Net Loss (adjusted) -1,323 -
***EBITDA margin change is bps

Jet Airways’ Q1FY19 performance was disappointing on all the fronts. Revenue from operations increased by 6.4% yoy to Rs6,010.5cr. The loss at the EBITDA level was Rs1,018.5cr vs. profit of Rs88.1cr in Q1FY18. The company reported net loss of Rs1,323cr vs. net profit of Rs53.5cr in Q1FY18.
  • Revenue from the domestic segment increased by 3.3% yoy to Rs2,663.7cr, while international segment reported revenue of Rs3,346.8cr (up 9% yoy).
  • Cargo revenue was up by 19.2% yoy to Rs515cr over Q1FY18.
  • There was an increase of 35% yoy in total operating expenses including ATF cost. Employee cost and other expenses also increased by 12.6% yoy and 20.1% yoy respectively.
  • The passengers carried by the airline increased by 3.9% yoy to 7.38mn over Q1FY18.
  • Interline and Codeshare traffic increased by 5.1% to 5.9 lakh guests over Q1FY18.
  • Non-fuel CASK reduced by 1.5% to 3.17 over Q1FY18. The airline’s overall fleet utilization also went up by 3.7% yoy to 12.98 hours with a Technical Dispatch Reliability (TDR) of 99.52%.
  • The board also considered various cost cutting measures, debt reduction and funding options, including infusion of capital, monetization of assets including the company’s stake in its loyalty programme.
  • The comprehensive cost reduction programme will result in a saving of Rs2,000cr over the next two years. It also aims to deliver 3-4% growth in RASK through tactical and strategic initiatives around network, pricing, inventory management and sales.
  • As per the airline capital infusion and debt reduction will result in significant decline in the interest cost.

Technical View:

Jet Airways (India) Ltd ended at Rs. 281.80, up by 5.95 points or 2.16% from its previous closing of Rs. 275.85 on the BSE.
The scrip opened at Rs. 275.20 and touched a high and low of Rs. 288.50 and Rs. 271.60 respectively. A total of 1,10,16,969 (NSE+BSE) shares were traded on the counter. The stock traded above its 200 DMA.

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