SpiceJet posts standalone net profit of Rs 23 cr in Q3, stock jumps 8%

The passenger industry witnessed the much needed turnaround in the third quarter as Covid cases ebbed in the first half of the quarter, says SpiceJet chief

SpiceJet on Tuesday reported a consolidated profit of Rs 42.45 crore for the three months ended December 2021 as higher passenger traffic and improved performance of the logistics segment propelled the airline into the black.

The no-frills carrier, which is currently going through turbulent times, had a consolidated loss of Rs 66.78 crore in the year-ago period.

Total income in the latest December quarter climbed to Rs 267.73 crore compared to Rs 187.06 crore in the same period a year ago, according to a regulatory filing.

On a standalone basis, the airline recorded a profit of Rs 23.28 crore for the third quarter of the current fiscal year.

In the year-ago period, it had a standalone loss of Rs 56.96 crore.

SpiceJet Chairman and Managing Director Ajay Singh said he was happy that the airline reported a "profit in Q3 FY2022 driven by excellent logistics operations, rebound in passenger traffic and various accommodations from aircraft manufacturer and lessors".

According to him, the passenger industry witnessed the much needed turnaround in the third quarter as COVID cases ebbed in the first half of the quarter, travel picked up significantly and there was finally hope that the worst was behind us. However, that changed by the second half of December as Omicron halted that recovery.

"Our performance would have been much better but was impacted by the unexpected delay in the return to service of the 737 MAX, rising fuel costs and certain exceptional adjustments. I am happy to say that there are renewed signs of recovery in the passenger segment and the logistics segment continues to remain strong," he noted.

On Tuesday, shares of SpiceJet soared 8 per cent to Rs 64 apiece on BSE.