SpiceJet Q3 profit surges five-fold to Rs 107 crore as air travel grows

India's SpiceJet Ltd reported a nearly five-fold surge in third-quarter profit on Friday, as the embattled low-cost carrier benefited from soaring demand for air travel.

The airline said its profit rose to 1.07 billion rupees (Rs 107 crore) for the quarter ending December 31, 2022 as compared to a net profit of Rs 23.28 Crore (Rs 20 Crore excluding forex adjustment) in the quarter ending December 31, 2021.

Despite a big jump in passenger traffic, business continued to be impacted by high fuel prices and depreciating Rupee, the company said in the statement.

Ajay Singh, Chairman and Managing Director, SpiceJet said in the exchange filing, “I am happy that SpiceJet has reported a profit in Q3 FY2023. We exceeded our operational targets and continued with our unmatched performance clocking the highest load factor for every single month in 2022. The profits have been driven by a strong performance in both our passenger and cargo businesses. There are renewed signs of recovery and some very positive developments and restructuring initiatives in the immediate offing that would significantly strengthen and deleverage our balance sheet.”

“Air travel has come roaring back touching newer heights and giving a glimpse of the huge potential of the Indian aviation market and we look forward to a robust and exciting 2023,” he further added.

($1 = 82.7550 Indian rupees)

(With inputs from agencies)