SpiceJet Ltd posts consolidated net loss of Rs389.37cr in Q2FY19 vs. net profit of Rs105.27cr in Q2FY18 : Misses Estimates

The company’s consolidated revenue stood at Rs1,880.86cr, up 3.83% yoy but down 15.88% qoq.

Nov 14, 2018 08:11 IST India Infoline Research Team

SpiceJet Ltd Q2FY19

Consolidated Results Q2FY19: (Rs. in cr)

Q2FY19 YoY (%)
Revenue 1,880.86 3.8
EBITDA -321.50 -
EBITDA Margin (%) - -
Net Loss (adjusted) 389.37 -
***EBITDA margin change is bps
SpiceJet Limited reported a disappointing set of numbers for the September quarter as key financial parameters came worse than street expectations. Revenues from operations rose 3.8% yoy to Rs1,880.9cr in Q2FY19 vs. Rs1,811.4cr in Q2FY18, 4.3% lower than the street estimates. The airline reported EBITDA loss of Rs321.5cr in Q2FY19 vs. EBITDA profit of Rs149.5cr in Q2FY18, while street was expecting EBITDA loss of Rs114.1cr for the quarter under review. The company’ standalone net losses widened to Rs389.4cr vs. net profit of Rs105.3cr for the same quarter last year. The street was expecting a net loss of Rs260.5cr.
  • Spicejet’s operating profit before rentals (EBITDAR) turned negative at Rs43.8cr for the September quarter as compared to EBITDAR profit of Rs391.1cr for the same quarter last year. Operating profit was adversely impacted primarily owing to sharp rise in fuel expense and weaker rupee.
  • Fuel expenses jumped 55.8% yoy to Rs845.1cr and other expenses surged 53% yoy to Rs222.4cr for the current quarter.
  • Aircraft rentals increased by 14.9% yoy to Rs277.7cr and aircraft maintenance cost increased by 17.3% yoy to Rs358.3cr for Q2FY19.
  • Interest expenses surged 87.7% yoy to Rs32.5cr as compared to Rs17.3cr during the September quarter last year.
  • Thus, bottom-line suffered owing to steep rise in key operating expenses.

Technical View:

SpiceJet Ltd is currently trading at Rs. 83.80, up by 2.4 points or 2.95% from its previous closing of Rs. 81.40 on the BSE.
The scrip opened at Rs. 84.90 and has touched a high and low of Rs. 87.55 and Rs. 82.25 respectively. So far 38,15,731 (NSE+BSE) shares were traded on the counter. The stock is currently trading below its 200 DMA.

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