Shares of SpiceJet Ltd rose as much as 6 percent on Monday before paring gains, as the airline announced a major expansion of its flight operations for the upcoming winter schedule. The low-cost carrier said it will operate 250 daily flights this winter -- double its summer schedule and sharply higher than 150 daily flights operated during last winter. Spicejet stock rose to an intraday high of Rs 40.59 on BSE, and was trading up 2 percent at Rs 39 as of 12.20 pm.
The expanded schedule, effective from October 26, comes amid SpiceJet’s push to reclaim market share as it rebuilds operations and inducts 19 leased aircraft into service over the next few weeks. The airline aims to more than double its operational fleet and triple its available seat kilometres (ASKM) by November 2025, reflecting a strong rebound in capacity and demand.
Chief Business Officer Debojo Maharshi called the expansion “a significant phase of growth” and said the larger fleet will allow the airline to enhance frequencies on key metro routes and launch new destinations across domestic and international markets. The new routes include daily flights to Phuket from Delhi and Mumbai, and enhanced domestic connectivity linking Ayodhya, Udaipur, Jaipur, Patna and Chennai with major cities.
The announcement comes amid improving credit sentiment around the airline. Ratings agencies Crisil and Acuité recently upgraded SpiceJet’s ratings, citing capital infusion of Rs 3,000 crore through a QIP, successful settlements with creditors and lessors, and adequate liquidity reserves. Crisil assigned an A4+ short-term rating earlier this month, while Acuité upgraded its long-term rating to ‘BB (Stable)’ in September, highlighting the company’s revival plan and improved financial discipline.
Earlier this month, SpiceJet added three new aircraft -- including an Airbus A340 and two Boeing 737s -- to its operational fleet as part of its ramp-up for the holiday season. The airline has also settled legacy disputes, including a $24 million payment to Credit Suisse and a liquidity-enhancing agreement with Carlyle Aviation Partners that unlocked nearly $90 million in maintenance reserves and credits.
At the current market price of Rs 39.28, SpiceJet’s stock remains down 31 percent over the past year, even as it shows signs of operational and financial turnaround.
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