Jet Air flies into black in Q3, stock up
Jet Airways, the largest private airline company in India, turned profitable with net at Rs 85 crore (below forecast) in the third quarter of financial year 2012-13 as against loss of Rs 101.2 crore in second quarter.
Jet Airways, has reported Rs 85 crore profit in the December quarter against Rs 101 crore (YoY) loss, boosted by higher yields and lower fuel cost. While gross yields per passenger grew 18.6%, aviation fuel cost fell 3% to Rs 1688 crore, YoY.
Revenues rose nearly 7 percent - lower than expected - to Rs 4,205.8 crore from Rs 3,939.2 crore, YoY.
The firm has reported foreign exchange loss of Rs 48 crore during the quarter as against gain of Rs 179 crore, QoQ as the Rupee remained weak against the dollar.
The company said that it has stopped capacity on loss making routes and will re-deploy aircraft on profitable high density routes in ensuing months. Currently, aircraft on ground have impacted topline by Rs 55 crore.
Nikos Kardassis, CEO, Jet Air, said that the airline is taking all measures to boost earnings and cut costs. The airline is keen to enhance ancillary revenues to boost overall performance.
He further said, high aviation fuel cost and curency fluctuation remains a cause of concern for the sector. However, Q4 passenger bookings are healthy but there could be some seasonality impact.
Shares of the company were up 0.76 percent to Rs 626.80 post earnings announcement.