New Delhi: Today budget airlines SpiceJet accounted seventh straight quarterly profit at Rs 59 crore for July-September. The 103 per cent increase in net profit in its decade-old history was initially driven by an augment in operating margins to 24 per cent though cost reduced 10 per cent.
Chairman and Managing Director Ajay Singh have also conveyed in a statement that, this is generally the weakest quarter of the year and despite intense opposition in the market, we have executed exceptionally well.
We prolonged to focus on accountable and profitable development. The airline's revenue increases 35 per cent to Rs 1,400 crore as its capacity expand 38 per cent throughout the period. Its total cost decreased 10 per cent over the similar quarter previous year whereas average unit fare improved by 5 per cent despite competitive pressure.
The airlines have also further conveyed that, this is the seventh consecutive profitable quarter for us following the challenges faced in December 2014 and the change in management and control. The airline proofed a traveler load factor of 92.3 per cent in the reporting quarter, the maximum in the industry.
In fact, it has moving at the fastest clip for the precedent 19 months in a row and the load factor has been in surplus of 90 per cent monthly since April 2015.
Ajay Singh have also further conveyed that, we have determined practically all our legacy issues and the stage is set for building up our cash reserves and finalizing our long-term fleet development plans.
Spicejet functions 342 daily flights connecting 45 destinations, of which 39 are domestic deploying 31 Boeing 737NGs and 17 Bombardier Q-400s. Today the stock closed at Rs 65.35, up 1.48 per cent, on BSE.