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Kingfisher Airlines net loss more than trebles

Kingfisher Airlines
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on Thursday said its net loss more than trebled in the from a year earlier, as high fuel prices and curtailed operations hurt the cash-strapped carrier.

Net loss in the three months to March widened by 3.2 times to Rs 1,151 crore, from Rs 355 crore in the year-ago period. The airline, which drastically cut its fleet size during the past eight months due to stifling debt, reported a 54 per cent drop in top line at Rs 741 crore.

The UB Group-owned airline, creaking under a debt of around Rs 8,000 crore compounded by its negative networth, said the Indian aviation industry was confronted with an unprecedented, tough operating environment, intensified by consistently high fuel prices and a depreciating rupee.

“Fuel prices have increased by over 40 per cent over last year, compounded by the weakened rupee. The industry’s demand growth in the domestic market at 13 per cent in 2011-12 over last year has been overshadowed by 17 per cent growth in industry capacity, leading to a pressure on the yields and the load factor for the industry,” a company statement said. The effect of restructuring of loans showed some positive movement, as its interest payout was down by 17 per cent at Rs 289 crore during the quarter.

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Kingfisher Airlines net loss more than trebles

Kingfisher Airlines on Thursday said its net loss more than trebled in the fourth quarter from a year earlier, as high fuel prices and curtailed operations hurt the cash-strapped carrier.

on Thursday said its net loss more than trebled in the from a year earlier, as high fuel prices and curtailed operations hurt the cash-strapped carrier.

Net loss in the three months to March widened by 3.2 times to Rs 1,151 crore, from Rs 355 crore in the year-ago period. The airline, which drastically cut its fleet size during the past eight months due to stifling debt, reported a 54 per cent drop in top line at Rs 741 crore.

The UB Group-owned airline, creaking under a debt of around Rs 8,000 crore compounded by its negative networth, said the Indian aviation industry was confronted with an unprecedented, tough operating environment, intensified by consistently high fuel prices and a depreciating rupee.

“Fuel prices have increased by over 40 per cent over last year, compounded by the weakened rupee. The industry’s demand growth in the domestic market at 13 per cent in 2011-12 over last year has been overshadowed by 17 per cent growth in industry capacity, leading to a pressure on the yields and the load factor for the industry,” a company statement said. The effect of restructuring of loans showed some positive movement, as its interest payout was down by 17 per cent at Rs 289 crore during the quarter.

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Rss icon July 2015 Rss icon
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Results Tracker
Available for 3927 companies
Quarter Mar 2015 Mar 2014 % chg
Sales 1,741,324.25 1,850,174.83 -5.88
Op. Profit 429,024.08 463,919.73 -7.52
Net Profit 77,151.61 138,638.19 -44.35
Figures in Rs crore

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