Kingfisher Airlines widens Q1 loss to Rs 263 cr

Kingfisher Airlines today said its net loss has widened by 40.66% at Rs 263.54 crore for the quarter ended June 30, mainly due to increased fuel expenses.

The company had reported a net loss of Rs 187.35 crore during the corresponding quarter of last fiscal.

Net revenues of the company, however, rose by 14.68% during the quarter under review at Rs 1,881.64 crore vis-a-vis Rs 1,640.68 crore of the corresponding quarter of 2010-11, it said in a filing to the Bombay Stock Exchange.

The Vijay Mallya-promoted company paid Rs 845.13 crore on account of air turbine fuel, an increase of 44.32% during the April-June quarter as compared to Rs 585.57 crore it paid in Q1 of FY11, the filing added.

It further said that the net loss of Kingfisher would have widened by Rs 26.23 crore, had it not adopted the a new norm under the accounting policy, called Exposure Draft on Accounting Standard - 10 (Revised) 'Tangible Fixed Assets'.

"The said norms allows costs on major repairs and maintenance incurred to be amortised over the incremental life of the asset. The company has extended the same treatment to costs incurred on major repairs and maintenance for engines pertaining to acquired on operating lease," the filing said.