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Gurgaon, June 03, 2017: SpiceJet reported a quarterly profit of INR
41.6 crore for the three months ended March 31st, 2017, making it the ninth successive
profitable quarter for the airline. Net profit for FY 2017 stood at INR 430.7 Crore,
making this the second successive year of profitable growth.
Operating revenues were at INR 1625.7 crore for the reported quarter and INR 6191.3
crore for the fiscal 2017. On an EBITDA basis, profit is INR 111.2 crore for the
reported quarter and INR 694.4 crore for the fiscal 2017. On an EBITDAR basis, the
profit is INR 363 crore for the reported quarter and INR 1654.9 crore for the fiscal
2017.
SpiceJet’s strong operational performance comes despite significant headwinds.
Demonetization resulted in significant decline in yield in Q3 and Q4. Increase in fuel
cost was at 46% in Q4 eroding approximately Rs. 160 crore of profit.
These headwinds have subsided and SpiceJet is bullish about its future prospects. “Two
successive profitable years, a record aircraft order and emerging as India’s largest
regional operator are testament of the fact that SpiceJet remains firmly on track on
its long term growth strategy,” said Mr. Ajay Singh – CMD, SpiceJet.
“SpiceJet continues to invest aggressively in creating capacity in line with forecast.
We overcame a complete operational shutdown and placed the biggest order for 205
aircraft in our history.”
During this fiscal, SpiceJet completed its turnaround successfully by discharging all
its obligations to its Business Partners, implemented cost savings measures by
restructuring contracts and its business processes. The order of 205 aircraft signifies
the strategic direction in which SpiceJet is now committed upon. The USD 22 billion
(Rs. 1,50,000 crore) aircraft order is the biggest ever placed by any Indian airline
with Boeing in its history. The historic order ends the turnaround phase for SpiceJet
and marks the beginning of a growth story, which will see the airline expand its wings
– both within and outside the country.
FY 17 saw SpiceJet perform exceptionally well on all operational parameters. The
airline clocked the best on-time performance of all airlines in India for 2016-17.
SpiceJet’s rate of cancellation of flights was one of the lowest. Its load factor of
over 90% for 24 months in a row has no parallel globally.
SpiceJet rode high on regional connectivity during the quarter. Besides adding capacity
on existing routes, the airline was awarded 6 proposals and 11 routes under the UDAN
scheme. With three-year exclusivity on the routes under the UDAN scheme, SpiceJet will
be the only airline to operate on those sectors. This summer the airline increased its
regional capacity by 25% and will further augment capacity in this segment. The airline
is also set to benefit from the reduced cost on account of low ATF taxes and exemption
from landing and parking charges at regional airports under the regional connectivity
scheme.
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