JUST IN
FPIs flock to Indian mkt; buy shares worth Rs 31,630 cr in Nov
Macro data, global trends to guide equity markets this week: Analysts
TVS Supply Chain files addendum to DRHP as it turns profitable in H1
Investing it wisely: Mutual fund investors 'buying low & selling high'
Sebi bars former MSEI MD&CEO for six months over multiple violations
UTI AMC, Punjab National Bank shares jump on the stake sale plans
Sebi issues rules for managing technical glitches, cyber security threats
AMCs to be penalised for delay in dividend, redemption payments: Sebi
Nifty PSU Bank index m-cap crosses Rs 10 trillion in intra-day trade
Budget 2023: MFs seek LTCG exemption for longer-term equity investments
You are here: Home » Markets » News
Central Bank of India soars 15% as RBI removes lender from PCA framework
ASBA for secondary market in the works: Sebi chairperson Madhabi Puri Buch
Business Standard

SpiceJet tanks 4% as airline sends 80 pilots on Leave Without Pay

The low-cost airline has been reporting losses for the past four years and is operating less than 50 per cent flights, following the July 27 DGCA order in the wake of mishaps.

Topics
SpiceJet | Buzzing stocks | Market trends

SI Reporter  |  Mumbai 

SpiceJet
SpiceJet

Shares of SpiceJet plunged 4 per cent in intraday trades on Tuesday, the low-cost airline sent 80 pilots on leave without pay for three months in its bid to rationalise costs.

At 10:50 AM, the stock traded 3.5 per cent lower at Rs 42.10, amid heavy volume of around 4.07 lakh shares on the BSE. Meanwhile, the BSE benchmark was mor or less unmoved at 59,732.

Meanwhile, among other airline stocks, Jet Airways had zoomed 4 per cent to Rs 101. IndiGo added 0.3 per cent to Rs 1,914.

SpiceJet has been reporting losses for the past four years and is operating less than 50 per cent flights (total 90-odd aircrafts), following the July 27 order of the Directorate General of Civil Aviation (DGCA) in the wake of mishaps.

In a statement, SpiceJet said it had in 2019 inducted more than 30 aircraft following the grounding of the B737 MAX aircraft. “The airline had continued with its planned pilot induction programme with the hope that the MAX would be back in service soon. However, the prolonged grounding of the MAX fleet resulted in a large number of excess pilots at SpiceJet,” it noted. READ MORE

Earlier in August 2022, Ajay Singh-promoted SpiceJet and Swiss bank Credit Suisse settled a long winding dispute through an out of court settlement. This led to the withdrawal of an appeal by SpiceJet against a Madras High Court order that would have potentially led to the winding up of the low-cost airline.

For the quarter ended June 2022, SpiceJet had reported a net loss of Rs 78.83 crore as against a loss of Rs 72.91 crore in the corresponding quarter a year ago. This was despite, a 95 per cent surge in total income to Rs 247.84 crore from Rs 126.59 crore in the same comparable period.

Subscribe to Business Standard Premium

Exclusive Stories, Curated Newsletters, 26 years of Archives, E-paper, and more!

Insightful news, sharp views, newsletters, e-paper, and more! Unlock incisive commentary only on Business Standard.

Download the Business Standard App for latest Business News and Market News .

Read our full coverage on SpiceJet

First Published: Wed, September 21 2022. 10:54 IST

`
RECOMMENDED FOR YOU
.