Reducing losses by about 45 per cent, Vijay Mallya-promoted Kingfisher Airlines has reported a net loss of Rs 230.81 crore in the second quarter ending September 30, compared to Rs 418.77 crore in Q2 last fiscal.
However, the company reported growth of 24.26 per cent in operating revenue at Rs 1,382.72 crore for the quarter, the airline said in a filing to the Bombay Stock Exchange (BSE).
Operating revenue of the company in the July-September quarter of 2009-10 was Rs 1,112.70 crore.
The company's net income would have improved "by Rs 73 crore but for the cost incurred on account of unplanned grounding of aircraft", Kingfisher said.
About 30 per cent of the airline's fleet of Airbus A320 family were on ground during the quarter and "arrangements have been concluded with the engine manufacturer to ensure that these aircraft are operational in the near future".
Kingfisher has 34 planes of A320 category.
More From This Section
"With all of the grounded aircraft returning to service progressively and planned addition of incremental capacity, the airline will continue to maintain and further build upon its market leadership position," it said.
On its debt recast scheme, sought from the banks, Kingfisher said that it is at "an advanced stage", while its lead bank "State Bank of India has approved the debt recast proposal".
Other banks are in the process of seeking similar approvals from their respective boards, it added.
It is estimated that as on March 31 2010, Kingfisher has an outstanding debt of Rs 6,000 crore and bulk of them are long term loans.
"Once approved and implemented, the debt recast proposal will result in significant financial benefits including interest costs while also ensuring conservation of cash in the company," Kingfisher said.
Scrips of the company were traded today at Rs 81.65 crore a piece on the BSE, down 2.06 per cent from the previous close.