Jet Q4 net down 61%

In line with analyst expectations, the country's largest private airline, Jet Airways, registered a 61.24 per cent slump in net profit to Rs 88.01 crore for the quarter ended March 31, 2007 against Rs 227.12 crore for the quarter ended March 31, 2006.

This is the second continuous quarter that Jet has shown profits on its books after dismal losses for the first two quarters of the year.

Jet Airways CEO Wolfgang Prock-Schauer said the decline in the profits should be seen in the context of competition in the domestic skies and introduction of several international flights by the airline.

"Amid various challenges, we have managed to post profits on the wings of improved load factors and increased yields," Schauer said.

Income from operations grew by 23.18 per cent to Rs 1,978.27 crore for the reporting quarter against Rs 1,605.93 crore for the corresponding quarter a year ago.

The Jet scrip went up marginally on the Bombay Stock Exchange, closing at Rs 808.50 today compared with Rs 802.95 yesterday.

However, the net profit for the year ended March 31, 2007 was 93.81 per cent down at Rs 27.94 crore against Rs 452.04 crore for the year ended March 31, 2006.

Total income from operations grew by 25 per cent to Rs 7,057.78 crore for the year ended March 31, 2007 against Rs 5,645.83 crore for the year ended March 31, 2006.

Jet Airways has also recommended a dividend of 60 per cent (Rs 6 per equity share of Rs 10 each) on equity shares for 2006-07. The company has also approved a rights offering of up to $400 million.