Jet Q4 net at Rs 53cr on lower fuel price, restructuring

Beating expectations private carrier Jet Airways reversed the trend of previous two quarters, to post a net profit of Rs 52.99 crore for the quarter ended March 31, 2009, mainly on account of lower fuel prices and restructuring programme undertaken.

The carrier had suffered a loss of Rs 221.18 crore in the same quarter of the previous financial year.

However, the net revenue for the latest quarter was at Rs 2,263.37 crore, down 16 per cent from Rs 2,687.33 crore in the comparable quarter of the previous fiscal.

Jet fuel expenses were sharply down to Rs 593.94 crore in the quarter ended March 31, 2009 from Rs 1,080.21 crore, due to the lower fuel prices and route ratioanlisation undertaken by the carrier in the reviewed quarter.

"The average rate of ATF (aviation turbine fuel) for the quarter was Rs 29.67 per litre, which was lower than Q4 FY 2008 rates by 37.4 per cent...The company has reduced capacity (for the domestic sector) by 22.3 per cent in Q4FY09 compared with Q4FY08," the carrier said in a statement.

For the entire year, the airline widened its loss by almost 59 per cent at Rs 402.34 crore compared with Rs 253.06 crore in the 2007-08 fiscal.

As for the near future, Jet does not foresee smooth sailing. "In India, the downward trend in domestic aviation market continued. With the upcoming lean season, load factors and yields will continue to be under severe pressure," it said.