Wednesday, June 21, 2017

IndiGo, GoAir passenger load factor grows in May; Spicejet reaches ‘record high’ PLFs

Domestic carriers like IndiGo, GoAir and SpiceJet all reported passenger load factor over 90% in May, Directorate General of Civil Aviation data showed on Monday.

The month of May primarily being a tourist season, passenger load factor by airlines were also at ‘all-time’ high.

“While, IndiGo, SpiceJet (SJet) and Go Air (Go) all reported more than 90% load factors, SJet PLF reached a new high of 94.3%. This will reinvigorate a demand side confidence in the Indian aviation market,” Ansuman Deb analyst from ICICI said in a report dated June 19.
“SpiceJet’s load factor has remained above 90% for around two years in a row,” Ashutosh Somani and Nitin Agarwala, JM Financial analysts said.
The airlines have also increased capacity addition or available seat kilometre (ASK) in May, which will be a positive for the companies this fiscal.

“Higher ASK growth of IndiGo in the int’l segment will relieve a lot of capacity pressure in the domestic market and give support to the domestic yields,” Deb added.
21/06/17 ZeeBiz