After hovering in losses for five consecutive quarters, budget carrier SpiceJet on Monday reported a net profit of Rs. 56 crore for the April-June period on the back of significant growth in sales and better yields.
The Chennai-based airline promoted by Kalanithi Maran had posted a net loss of Rs. 71.96 crore in the same period last fiscal.
For the first quarter of the current fiscal ended June 30, the carrier posted 51 per cent growth in sales at Rs. 1,406.74 crore compared to Rs. 930.75 crore, SpiceJet said in a statement.
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The average revenue per passenger during the reporting quarter increased 24 per cent, while the number of passengers carried rose by 26 per cent.
Besides, the seat factor also rose to 80.3 per cent from 78.9 per cent, the company said, adding that its market share increased by 1.5 percentage points to 18.6 per cent during the quarter.
Though the load factors and yields have been holding firm, the high cost of operations influenced by a weak the rupee prevented the company from posting even better results, it said.
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Prohibitively expensive fuel prices continue to adversely impact the civil aviation sector, it said, adding that though international crude prices have softened in recent weeks, the domestic carriers are yet to realise the benefits of such reduced input costs of the fuel.
In addition, the industry has also absorbed significant increases in airport charges at the Delhi airport, it added.