IndiGo dips 8% on biggest quarterly loss in Q2; brokerages cut target price

With marginal improvement seen in Q3 dampened by the economic slowdown and weak demand, brokerages have slashed target prices

InterGlobe Aviation-run IndiGo airlines nosedived 8 per cent to Rs 1527.85 in intra-day deals on the BSE on Friday, after the airline reported its biggest quarterly loss of Rs 1,062 crore in the September quarter of financial year 2019-20 (Q2FY20). Moreover, it cut its capacity expansion targets for 2019-20 by 5 percentage points. 

The country's biggest airline by market share reported a surprise loss on the back of higher maintenance costs and mark-to-market losses. The company had a loss of Rs 651.5 crore in the same period a year ago.

"In a historically weak quarter, we registered a negative profit