IndiGo shares drop 3% on Q3 guidance cut; ₹45k cr M-cap wiped in Dec

IndiGo said it reduced its capacity and passenger unit revenue forecast for Q3, after the Civil Aviation ministry directed the carrier to cut 10 per cent

After having wiped out nearly ₹45,000 crore in investors' wealth, shares of InterGlobe Aviation Ltd. continued witness selling pressure on Thursday after the crisis-hit airline trimmed its revenue forecast for the third quarter. 

 

The airline's stock fell as much as 3.15 per cent during the day to ₹4,645 per share. The stock pared losses to trade 1 per cent lower at ₹4,753 apiece, compared to a 0.14 per cent advance in Nifty 50 as of 9:52 AM. 

 

Shares of the company have fallen 19 per cent so far this month and currently trade at 5.3 times the average 30-day trading volume, according to Bloomberg. The counter has risen 4.5 per cent this year, compared to a 9 per cent advance in the benchmark Nifty 50. 

 

IndiGo trims Q3 capacity, revenue forecast

The company said it reduced its capacity and passenger unit revenue forecast for the third quarter, after the Civil Aviation ministry directed the carrier to cut 10 per cent of its domestic winter schedule following mass flight cancellations.

 

The airline said it now expects its third-quarter capacity to grow in the high single to early double-digit percentage, down from the earlier forecast of growth in the high teens. It expects passenger unit revenue for the third quarter to be impacted by a mid-single-digit percentage downward moderation versus the earlier forecast of flat to slight growth.

 

Meanwhile, analysts at Emkay Global Financial Services said that Indigo may see a dent in revenue by 3 per cent and pre-tax profit by 17 per cent in the current financial year 2025-26 (FY26). 

 

Over the past eight days, IndiGo has cancelled more than 4,200 flights, which is equivalent to nearly 23 per cent of the over 2,300 flights that the company was scheduled to fly daily in December 2025, as per Emkay Global Financial Services.

 

Further, uncertainty still persists around IndiGo's ability to meet revised Flight Duty Time Limitations (FDTL) norms by February 10, 2026, when these regulations are scheduled to be reimposed after a temporary suspension.  CATCH STOCK MARKET LIVE UPDATES TODAY

DGCA stations officers at IndiGo HQ

The aviation regulator on Wednesday stationed a group of officials at IndiGo’s headquarters in Gurugram to monitor the day-to-day internal operations of the country’s largest airline. The team will monitor the airline's daily operations, crew management, and passenger handling amid the crisis. 

 

Meanwhile, IndiGo's board of directors will involve an external technical expert to work with the airline’s management and help determine the root causes and ensure corrective action so that such a disruption never occurs again, Chairman Vikram Singh Mehta said.