Hit by a declining rupee amid a challenging external environment, InterGlobe Aviation, the parent of IndiGo airline, reported a net loss of Rs 2,536 crore for the quarter ended March 31, 2026 (Q4FY26). It reported a net profit of Rs 3,067 crore in the year-ago quarter (Q4FY25).
The airline’s revenue from operations grew by just 1% year-on-year to Rs 22,438 crore during the reported quarter while total cost grew by 30% to Rs 25,932 crore. Passenger ticket revenues declined marginally to Rs 19,425 crore.
Excluding the impact of foreign exchange and exceptional items, IndiGo reported a net profit of Rs 1,921 crore in Q4FY26. A declining rupee severely impacts airlines in India by inflating operational costs, triggering foreign-exchange losses and squeezing profit margins as roughly 60% of their expenses, including aviation turbine fuel (ATF), aircraft leasing and maintenance are dollar-denominated.
At 95 per dollar, the rupee has declined more than 5% so far in calendar year 2026. In the last one year, the decline is around 10%.
For the full financial year 2025-26, IndiGo reported a loss of Rs 2,393 crore. The airline had reported a profit of Rs 7,258 crore in FY2024-25. Revenue from operations for the full year grew by 5% to Rs 84,962 crore.
On operational metrics, Indigo’s capacity increased by 3.4% to 43.6 billion Available Seat Kilometres (ASKs) in Q4FY26. Passenger volume declined by 1.1% to 31.6 million during the quarter while Yield decreased by 2.2% to Rs 5.20 (INR/KM).
29/05/2026 Arshad Khan/New Indian Express
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