Mumbai, May 24 (IANS) Vijay Mallya-promoted Kingfisher Airlines Tuesday reported a full-year net loss of Rs.1,027 crore, down from Rs.1,647 crore in fiscal 2009-10, mainly on account of improved performance and a restructuring of its loan and lease agreements.

"The improvement in operating performance was a result of the debt recast which was completed in December 2010," the company said in a regulatory filing.

The airline said that its total income grew by 25 percent in the period under review, and stood at Rs.6,360 crore as against Rs.5,090 crore in the previous fiscal.

The airline reported a profit of Rs.140 crore in its earnings before interest, taxes, depreciation and amortisation (EBITDA) in 2010-11, from a loss of Rs.690 crore in 2009-10.

"Several cost reduction initiatives and growing maturity of international routes were the major contributors to the improvement," the statement said.

The airline said that despite an increase of 15 percent in jet fuel cost, the EBITDA cost per available seat per kilometre (CASK) was reduced by 2.4 percent, thereby enabling the company's savings to rise.

"Excluding the impact of fuel, EBITDA CASK reduced by 10.1 percent. Kingfisher, during the year, implemented initiatives that lowered sales and distribution cost and overhead
expenses," the statement added.

Segment wise, the airlines' improved performance was led by its domestic operations, which reported an increase in profit of 131.31 percent and stood at Rs.776 crore, compared to Rs.335.48 crore in the previous fiscal.

The company's international operations still remain in red, but improved as losses were reduced from Rs.340.08 crore in 2009-10 to Rs.78.10 crore in the period under review.

The airline added that the outlook for the Indian aviation segment was strong and that it expects the momentum to continue.

"The momentum in the aviation industry has continued with a strong demand growth of 20 percent in FY11. Industry experienced an increase of six percentage points for
the same period," it said.