Tuesday, January 22, 2013

SpiceJet not to be a trend unless govt changes policy

New Delhi: SpiceJet returning to profitability in the December quarter had analysts swooning over the airline’s ability to rise above the morass of losses yesterday.
But don’t celebrate just yet. First, the ongoing March quarter is typically lean, with less load factors (percentage of occupied seats per aircraft) than the December quarter and analysts are predicting that SpiceJet may remain operationally profitable but would report a marginal loss in the current quarter.
Other airlines may also find it difficult to sustain the yields and load factors seen in the December quarter, with some returning to the red.
22/01/13 Sindhu Bhattacharya/First Post