SpiceJet posts 24.5% decline in profits in Q3 FY17

Feb 15, 2017: SpiceJet has announced results for quarter ending December 31, 2016, posting 24.5 percent year-on-year drop in profits to Rs 181.1 crore compared to Rs 239.9 crore in quarter ending December 31, 2015.

SpiceJet reported operating revenue of Rs 1642.4 crore in the quarter. On an EBITDA basis, SpiceJet reported a profit of Rs 241.3 crore. On an EBITDAR basis, the Company reported a profit of Rs 484.2 crore. Profits for the quarter were impacted by demonetisation and higher fuel prices. Despite this, margins on EBITDAR, EBITDA and EAT basis were 28 percent, 14 percent, 11 percent respectively.

The December quarter saw SpiceJet excelling on all operational parameters emerging as the country’s most punctual airline while continuing to record the industry highest load factor of over 90 percent for 21 months in a row.

This is the eighth consecutive profitable quarter for SpiceJet since its turnaround after December 2014. The airline recorded a load factor of 90.7 percent for the quarter, the highest in the industry. SpiceJet also showcased remarkable on time performance for the quarter by clocking the highest ranking across all metros.

“We have reported our eighth successive profitable quarter despite headwinds. SpiceJet’s dramatic turnaround story has made the world sit up and take notice. Our historic aircraft order signifies the end of the turnaround phase for SpiceJet and marks the beginning of a growth story. This order will help build an even stronger and more profitable airline. We will be relentless in reducing our costs and identifying new avenues for revenue generation,” said Ajay Singh, Chairman and Managing Director, SpiceJet.