SpiceJet posts 20 per cent decline in Q1 net profit at Rs 158 crore


New Delhi, Aug 14 (IANS): Low-cost carrier SpiceJet Ltd on Wednesday reported a 20 per cent decline in its consolidated net profit at Rs 158 crore in the April-June quarter of the current financial year from Rs 198 crore in the same period of the previous year.

The Ajay Singh-run airline's revenue from operations in the first quarter fell 15 per cent to Rs 1,708 crore compared to Rs 2,004 crore in the same period last year.

On a sequential basis, net profit after tax rose 24 per cent from Rs 127 crore in the preceding January-March quarter.

As part of the ongoing summer schedule for 2024, which starts on March 31 and ends on October 26, SpiceJet has indicated that it will operate 26 per cent fewer weekly flights.

SpiceJet's Q1 FY25 earnings before interest, taxes, depreciation and amortisation (EBITDA) came in at Rs 401 crore, compared to Rs 525 crore in the same quarter a year ago.

"We are pleased to report a profit of Rs 150 crore for Q1 FY 2024-25, which underscores our determination to navigate through uncertainties and is a testament to the hard work and dedication of our team," SpiceJet said in a statement.

Meanwhile, the Delhi High Court on Wednesday ordered SpiceJet to ground three engines leased from French lessors as it had failed to pay up the rentals.

The court directed the budget airline to ground these engines by August 16 and return them to the two lessors – Team France 01 SAS and Sunbird France 02 SAS – within 15 days and make further arrangements for inspection.

This decision follows the lessors' rejection on August 12 of SpiceJet chairman and managing director Ajay Singh's offer to pledge his shares as collateral for the airline's outstanding liabilities.

The Gurugram-based airline reported losses in the second and third quarter of 2023-24, and has been taken to court by multiple lessors over unpaid leases for planes.

The airline had also till last week delayed the disbursement of June salaries to some of its staff on the grounds that it had pressing operational financial commitments.

 

  

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Title: SpiceJet posts 20 per cent decline in Q1 net profit at Rs 158 crore



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