Riding on the back improved demand for premium class, India's largest private carrier Jet Airways today posted a net profit of Rs 3.52 crore for the first quarter ended June 30.
The airline had recorded a loss of Rs 225.33 crore in the corresponding period of the previous fiscal.
The company's total income rose from Rs 2,428.36 crore in the June quarter last fiscal to Rs 3,023.21 crore in the same period this fiscal, Jet Airways said.
"We are seeing a premium demand revival and this is expected to continue over the next few quarters," Jet Airways said.
Based on the buoyancy in the front-end passenger numbers, the airline introduced "Konnect Select," a new premium service, in Jet Airways Konnect aircraft in May this year.
According to the company, global as well as Indian air- carriers have seen a spurt in demand in 2010 on the back of improved economic conditions, resulting in higher load factors as well as yield growth.
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Backed by this resurgence in demand, Jet's domestic traffic grew 39.1 per cent for the quarter, more than the industry average of 23 per cent jump traffic.
Jet Airways's domestic operations clocked a 79.7 per centload factor during the quarter against 73.4 per cent in the same quarter in the last fiscal, it said, adding the seat factor on international routes was as high as 80 per cent.
At the same time, EBITDAR (Earnings before income, taxes, depreciation, amortisation and rent) also increased by 42 per cent to Rs 703.40 crore in the quarter from Rs 496.30 crore for the same period last year due to various cost-efficiencies achieved over the last few quarters, the company said.
"This growth has been achieved through integration in operational efficiencies; effective network planning, strategic code shares, distinctive marketing initiatives and improved reliability etc," Jet Airways Chief Executive Officer Nikos Kardassis said.
Jet's wholly-owned low-cost arm, JetLite also posted a remarkable improvement in operating margins and revenue passengers for the quarter ended June, the company said.