Indigo’s shares are garnering attention after Q4 results revealed a doubling of profits year-over-year. The airline reported exceptional earnings that exceeded market expectations, sparking investor interest.
Interglobe Aviation, Indigo’s parent company, achieved a new all-time high for two consecutive days following a positive earnings report. Shares opened over 1% higher at Rs 4,453.1 and peaked at Rs 4,520, reflecting a gain of 2.7%.
The airline’s financial strength was evident, with a net profit of Rs 1,894.8 crore for the quarter, up from Rs 919.2 crore the previous year. This surge was supported by a 26.7% increase in total income to Rs 18,505.1 crore, influenced by a favourable external environment.
EBITDAR also saw significant growth, rising to Rs 4,412 crore from Rs 2,966.5 crore last year, enhancing the EBITDAR margin from 20.9% to 24.8%. The company also reported a 14% increase in passenger numbers, improving load factors and yield.
Indigo’s financial position remains robust with a total cash balance of Rs 34,737 crore, despite a total debt of Rs 51,280 crore. The company plans to launch a new business travel product targeting India’s major business routes. The stock’s impressive year-long performance included a 93% gain.
