Interglobe Aviation Q3 PAT turned around to profit of Rs129.79cr as higher revenues offset cost spikes

7 Feb 2022 , 08:11 AM

Interglobe Aviation reported 89.3% growth in total revenues for the Dec-21 quarter on consolidated basis at Rs9,295cr. On a sequential basis, the revenues were higher for the quarter by 65.73%.

During the quarter, the airlines across most of the routes came back to normal pre-COVID functioning levels and that helped much better absorption of fixed costs.

It also resulted in a positive gap between the RASK and the CASK after a number of quarters of negative spread. This more than offset the higher costs in the quarter.

The consolidated Profit after tax (PAT) for the Dec-21 quarter turned around to a net profit of Rs129.79cr compared to a loss of Rs-620cr in the year ago quarter and a much bigger loss of Rs-1,435cr in the sequential Sep-21 quarter.

The higher revenues on higher plane load factors led to offsetting of sharply higher fuel expenses, aircraft rentals and supplementary costs including repairs and maintenance.

The profits would have been still better had it not been for the ATF cost spike and lower forex gains in the current quarter on yoy basis.

Financial highlights for Dec-21 compared yoy and sequentially

	Interglobe Aviation
Rs in Crore	Dec-21	Dec-20	YOY	Sep-21	QOQ
Total Income (Rs cr)	₹ 9,294.77	₹ 4,909.98	89.30%	₹ 5,608.50	65.73%
Net Profit (Rs cr)	₹ 129.79	₹ -620.14	N.A.	₹ -1,435.66	N.A.
Diluted EPS (Rs)	₹ 3.36	₹ -16.11		₹ -37.29
Net Margins	1.40%	-12.63%		-25.60%