Growing SpiceJet returns to profit

SpiceJet reported a company record INR1.09 billion ($23.5 million) profit in its fiscal third quarter ended Dec. 31, reversed from a INR179.6 million deficit in the year-ago period that resulted largely from a INR187.8 million charge related to a dispute with an investor.
Revenue rose 23.7% year-over-year to INR6.53 billion and an 8.5% fall in fuel costs provided an extra boost to the bottom line. Unit costs were cut 22%. Passenger numbers soared 55% on a 28% increase in available seats, lifting load factor 14 points. The Delhi-based LCC said its passenger growth compared to a 31% rise across the Indian airline industry. SpiceJet flies 19 737-800s/-900ERs.
"Consumers have displayed their confidence in our brand, product and service mix," CEO Sanjay Aggarwal said. Its market share rose 2 points year-over-year to 12.5%.
Through the first nine months of its fiscal year, it was INR340 million in the black, reversed from a INR3.45 billion deficit in the year-ago period.
08/02/10 Brian Straus/ ATW

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Categories: spicejet Feb 2010