InterGlobe Aviation Ltd (BOM:539448) Q3 2025 Earnings Call Highlights: Strong Passenger Growth ...

In This Article:

  • Total Income: INR230 billion for Q3 FY2025, a 15% increase year-over-year.

  • Profit After Tax (Excluding Currency Impact): INR38.5 billion, with a margin of 17.4%.

  • Profit After Tax (Including Currency Impact): INR24.5 billion, with a margin of 11%.

  • EBITDA: INR61 billion, compared to INR55 billion in the same period last year.

  • Passenger Growth: 31 million passengers in Q3, a 13% year-over-year increase.

  • Load Factor: Approximately 87%, 1 point higher than the previous year.

  • Passenger Unit Revenue: INR4.72, flat year-over-year.

  • Yields: INR5.43, about 1% lower year-over-year.

  • RASK (Revenue per Available Seat Kilometer): INR5.44, a 2% increase year-over-year.

  • Fuel CASK Reduction: 16% decrease due to a 20% drop in global fuel prices.

  • Fleet Size: 437 aircraft, with 33 new aircraft inducted during the quarter.

  • Free Cash: INR289 billion at the end of the December quarter.

  • Restricted Cash: INR149 billion at the end of the December quarter.

  • Capitalized Operating Lease Liability: INR496 billion.

  • Total Debt: INR651 billion, including capitalized operating lease liability.

Release Date: January 24, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

  • InterGlobe Aviation Ltd (BOM:539448) reported a substantial increase in passenger numbers, with 31 million passengers served in the December quarter, marking a 13% year-over-year growth.

  • The company achieved a record high load factor of over 90% during November and December, indicating strong demand and efficient capacity utilization.

  • InterGlobe Aviation Ltd (BOM:539448) reported a profit after tax of INR38.5 billion, excluding currency impacts, reflecting a 26% year-over-year growth.

  • The airline expanded its network significantly, adding new domestic and international destinations, which positions it well for future growth.

  • The introduction of new products like IndiGoStretch business class has been well-received, aligning with evolving customer needs and potentially enhancing revenue streams.

Negative Points

  • The company faced a significant foreign exchange loss of INR14 billion due to rupee depreciation, impacting overall profitability.

  • Despite strong revenue performance, the profitability was adversely affected by currency fluctuations, highlighting exposure to foreign exchange risks.

  • The grounding of aircraft (AOG) remains a challenge, although it is on a downward trajectory, it still impacts operational efficiency and costs.

  • Increased competition in the international market led to a higher degree of yield moderation, affecting overall yield performance.

  • The cost of damp leases remains high, impacting rental costs, although there is an expectation of moderation in the future.