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Jet Airways reported its first quarterly profit since 2012 on Friday but the airline continued to lose money once one-off gains were excluded.
Jet reduced its consolidated net loss by 95 per cent to Rs 43 crore in the September quarter from Rs 999 crore in the year-ago quarter, on the back of gains from the sale of its frequent-flyer programme (FFP) and higher other income.
On a stand-alone basis, the airline posted a profit of Rs 69 crore compared with a loss of Rs 891 crore last year.
Subsidiary JetLite, however, posted a loss of Rs 112 crore.
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Jet Airways' consolidated revenue grew 13.7 per cent to Rs 5,092 crore in the second quarter of FY15. The revenue in the year-ago quarter was Rs 4,480 crore.
During the quarter, Jet reported a surplus of Rs 305 crore from the sale of FFP as an exceptional item. Its other income during the quarter was Rs 243 crore compared with Rs 73 crore in the year-ago quarter. Other income included profit from sale and lease back of planes and proceeds from the FFP sale.
Last year, the airline had transferred its FFP to a subsidiary. In March, Etihad Airways picked up a 50.1 per cent stake in Jet for $150 million.
In its income statement, the airline said Rs 1,123 crore would be credited over the next few quarters on fulfilment of certain terms of the sale agreement.
Yield, too, was up 6.4 per cent, as the business plan to reshape the airline and the benefits of the partnership with Etihad took hold.
The operating loss, too, declined 60 per cent to Rs 266 crore from Rs 655 crore in the quarter, while unit revenue increased 7.8 per cent. Cargo business also showed growth.
Cramer Ball, chief executive, said: "The operational restructuring initiatives with route and network rationalisation are already yielding dividends on the domestic and international networks. The organic network expansion, with enhanced global connectivity through alliances and code-sharing, has also helped increase international passenger traffic."
The airlines' code-sharing traffic doubled to 318,000 passengers during the quarter against 155,000 passengers in the year-ago period.
"All of which makes me confident our move to a single brand by December will help provide our guests with exceptional value and a significantly enhanced and consistent product offering," said Ball.
The results were declared after market hours on Friday. Jet shares were trading at Rs 251.45 apiece on the BSE, up three per cent from the previous close.
