)
Low cost airlines SpiceJet’s net loss was reduced by 44.5 per cent during the quarter ended September 30 compared to the same period of the previous finacial year.
According to a company announcement, the year-on-year net loss reduced to Rs 310.4 crore in the quarter, compared to Rs 556 crore during the second quarter of last year. The total income from operations were up by 15.3 per cent during the quarter, at Rs 1,450 crore as compared to Rs 1,257 crore registered during the corresponding quarter of the previous financial year.
The company said that the Load Factor has gone up 19 per cent and the Revenue per Available Seat Kilometer was up by 12 per cent.
The passenger revenues registered a growth of 18 per cent and ancilliary revenues by 31 per cent, said the company. The expenses has come down by two per cent, it said. There were Rs 75 crore of one-off and restructuring expenses in the quarter.
It further added that the positive impact of year-on-year improvement in exchange rate and fuel price was Rs 29 crore, while the current quarter did not see the benefit of recently introduced ATF price reductions that came into effect in October and November.
SpiceJet said that the results show the positive impact of the company's strategy, which is focused on maximizing asset and capacity utilization thereby maximizing revenues and absorbing fixed costs at a faster rate. “Management believes that there is still further significant potential on both improving revenues and reducing costs. The improved performance further demonstrates that the turnaround effort, which is still work-in-progress, has gained momentum during the quarter,” it said.
The company has seen higher loads and higher revenue per available seat kilometer along with continued focus on ancillary revenues are showing substantial results with an increase 31 per cent year-on-year as a result, SpiceJet’s revenue increased by 15 per cent while the capacity increase was of seven per cent, it said.
