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IndiGo Profit Plummets Amidst ₹1,546 Crore Costs
22 Jan
Summary
- IndiGo's Q3 net profit fell 77.5% to ₹549 crore.
- Exceptional costs of ₹1,546.5 crore impacted profit significantly.
- Revenue rose 6.7% to ₹2,454 crore despite profit drop.
InterGlobe Aviation, operating IndiGo, announced a substantial 77.5% year-on-year decrease in its third-quarter net profit, settling at ₹549 crore. This figure is down from ₹2,448 crore in the prior year's quarter. The significant profit reduction was primarily driven by exceptional items totaling ₹1,546.5 crore. These included an estimated ₹969.3 crore for new labor laws, ₹555 crore for operational disruptions, and a ₹22.2 crore DGCA penalty. Despite these challenges, IndiGo's revenue from operations experienced a 6.2% increase, reaching ₹23,471 crore. However, operational metrics revealed a decline in yield and load factor, alongside a decrease in EBITDAR margins. The airline reported a technical dispatch reliability of 99.9% for the October-December 2025 period and maintained an on-time performance of 76.6% at key metro airports in October and November 2025. Looking ahead, IndiGo anticipates a 10% capacity growth in the fourth quarter of fiscal year 2026. CEO Pieter Elbers acknowledged significant operational disruptions in early December 2025, regretting customer inconvenience while thanking staff and partners for restoring normalcy.
