Over the first three quarters of Jet Airways’ fiscal year, the carrier saw passenger traffic increase by 20 percent to 19.2 million, while profits rose 41 percent to $168 million.
Advertisement
Shares of Jet Airways jumped over 8 percent intraday on Monday after it announced highest ever quarterly profit in October-December. The company earned net profit of Rs 63.11 crore in the corresponding quarter a year ago. Jet Group’s revenues rose by Rs 266 crores to Rs 5,702 crore in Q3 of FY16 while passenger revenues rose by 4.8% to Rs 4,845 crore from Rs 4,621 crore.
The growth in passengers flown and the increased aircraft utilization led to increase in ASKM, which helped in improving both operating and financial performance in the third quarter. As the chart alongside shows, stand-alone fuel costs as a percentage of operating revenue dropped to the lowest in at least the past 15 quarters to 24.5%. He also said had it not been for the forex losses, net income would have been Rs 515 crore.
Other expenses during the quarter ended December 31, 2015 stood at Rs 1211.04 crore, compared with Rs 1100.69 crore. “We continue to focus on cost reduction, leverage commercial and operational synergies (with Etihad)”, Jet Airways CFO Amit Agarwal said.
The airline said an in-depth focus on cost reduction initiatives had resulted in the non-fuel cost per available seat miles being lowered by 4.6% while total cost per seat mils were reduced by 15%. “We remain committed to providing solid support and driving further synergies between the two partners”.
This is the third consecutive profitable quarter for Jet Airways, which is the country’s second-largest carrier by market share.
Advertisement
Jet Airways further enhanced its synergies with partners, expanding its codeshare partnership with strategic partner Etihad Airways.
