Despite third-quarter loss, SpiceJet targets 2010 international launch

A INR187 million charge "to settle a long pending dispute with an erstwhile investor" dragged India's SpiceJet to a INR180 million ($3.6 million) loss in the third fiscal quarter ended Dec. 31 (year-ago result not provided), but the carrier remains focused on an international future.
Excluding the charge, the New Delhi-based LCC posted an INR8 million profit. Operating revenue rose 16% year-over-year to INR4.72 billion on a 24% increase in average fare. Unit revenue climbed 11% to INR2.42 and passenger numbers were down 12%.
CEO Sanjay Aggarwal said, "We are optimistic that we will see an upward trend in passenger demand starting this summer. Fortunately, the fuel prices have stayed low to offset the lower demand."
Yesterday he told reporters that the airline plans to start international operations in May 2010 and is considering launching a regional subsidiary to provide feed. According to press reports from India, SpiceJet is limiting its international ambitions to Asia for now.
26/02/09 Brian Straus/ATW Online

To Read the News in full at Source, Click the Headline

Categories: SpiceJet Feb 2009