IndiGo is worst airline stock after profit drops 97% to $4 mn in 3 months

IndiGo, Asia's biggest budget airline by market capitalization, slumped as much as 11.4% earlier, the lowest intraday level since March 16, 2017

IndiGo, India’s biggest airline, fell to the lowest in 16 months as rising fuel prices and a weaker rupee led to its worst-ever quarterly profit in a fiercely-competitive market.

The carrier, operated by InterGlobe Aviation, said profit dropped 97% to $4mn in the three months through June, its worst quarterly result since listing in 2015. That compared with the average analyst estimate of Rs 5.10 billion. The stock slid 9.3% as of 10:30AM in Mumbai, the worst performing stock in the 26-member Bloomberg World Airline Index.

“The current revenue environment continues to remain weak particularly in the 0-15 day booking