The Indian airline company, InterGlobe Aviation, doing business as IndiGo, announced its financial results for the first quarter of FY23 on 3rd August 2022. The company reported a net loss of Rs. 1,064.26 crore in Q1 FY23, which contracted from Rs. 3,174.17 crore in Q1 FY22.
The loss arose primarily on account of the rising fuel costs, as well as a depreciating rupee, causing a greater loss on account of foreign exchange fluctuations during this quarter. There was also an increase in the aircraft and engine rental costs. Additionally, aircraft repair and maintenance expenses, airport fees and charges, employee costs, and finance costs for the company also shot up in this quarter.
On the other hand, the revenue from operations of the aviation company stood at Rs. 12,855.29 crore in the quarter under review, increasing a whopping 327.52% YoY from Rs. 3,006.91 crore in Q1 FY22. According to the company’s management, this was IndiGo’s strongest revenue performance ever, resulting in the highest ever quarterly revenue recorded by the company.
EBITDA of the company was reported at Rs. 716.9 crore in Q1 FY23, as compared to a negative EBITDAR of Rs. 1,360.2 crore in Q1 FY22. The EBITDAR margin in Q1 FY23 improved to 5.6%, as against a negative EBITDAR margin of 45.2% in Q1 FY22.
During the quarter, IndiGo had a total cash balance of Rs. 19,069.4 crore, comprising Rs. 8,303.7 crore of free cash and Rs. 10,765.7 crore of restricted cash.
The number of passengers of the airline increased by 221.9% YoY in Q1 FY23. Additionally, in the quarter ended 30th June 2022, yield improved by 50.3% YoY, load factor improved by 20.9 points YoY, and capacity increased by 145% YoY.
IndiGo reported a negative earning per share (EPS) of Rs. 27.64 in this quarter, which improved from a negative EPS of Rs. 82.47 in Q1 FY22. Ahead of the results, which were announced post market hours, the IndiGo share closed in the green at Rs. 1,967, up 1.15% from the previous day’s closing.
Click here: Interglobe Aviation Quarterly results
What the management says
The Company’s CEO, Mr. Ronojoy Dutta said, “Our revenue performance this quarter was impressive. We reported the highest ever revenue generated by the company and thereby produced profits at an operational level. However, cost pressures on fuel and foreign exchange prevented us from translating this strong revenue performance into net profitability. While our financial performance in the second quarter will be challenged by weak seasonality, the long-term revenue trend remains strong.”
Other things to know
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Research Analyst: Bavadharini KS