SpiceJet Soars: Q4 Profit Up Sixfold, Shares Jump 7%

SpiceJet’s stock price surged over 7% following the announcement of a sixfold increase in net profit for the fourth quarter of FY24. The budget airline reported a consolidated net profit of Rs 127 crore for the quarter ending March 2024, marking a significant turnaround from the losses recorded in previous quarters.

Trading up by 7.3% to an intra-day high of Rs 60 on the BSE, SpiceJet’s share price reflects the market’s positive response to its improved financial performance. Despite a 19% year-on-year decline in consolidated revenue, which stood at Rs 1,738 crore for Q4 FY24, the airline’s net profit on a standalone basis increased sixfold to Rs 119 crore, with standalone EBITDA growing by 12% year-on-year to Rs 386 crore.

Ajay Singh, Chairman and Managing Director of SpiceJet, expressed satisfaction with the strong results, attributing them to enhanced operational efficiency and strategic efforts to steer the company towards profitability. Looking ahead, SpiceJet plans to leverage the growing demand in the Indian aviation market and raise additional funds to support its growth initiatives.

For the fiscal year 2023-24, SpiceJet significantly narrowed its losses to Rs 423 crore from Rs 1,513 crore in the previous fiscal year, despite a 20% year-on-year decline in revenues to Rs 7,085 crore. Over the last twelve months, SpiceJet’s stock has shown resilience, maintaining a positive return of 89.96% despite challenges in recent months.

About The Author

Editor

See author's posts