Friday, 14 November 2014

SpiceJet Suffers Rs 320.4 Crore Q2 Loss

India based private airliner SpiceJet has reported a loss of Rs 310.4 crore in the second quarter, which is 45 per cent less than the Rs 559.5 crore loss that it reported during the same quarter in the previous year.

In a statement, SpiceJet however said there were a positive impact of the year-on-year improvement in exchange rate and fuel prices which were Rs 29 crore. The statement adds that total revenues were up 15 per cent while expenses were down 2 per cent during the second quarter.

The statement further adds that the second quarter of this year did not have the benefit of recently introduced reduction in prices of aviation turbine fuel that came into effect in October and November 2014.

The airline claims that the results clearly indicate that its market stimulation efforts are driving not just higher loads, but higher unit revenue also.

While welcoming the reduction in ATF prices which account for 40-45 per cent of the operating costs of a domestic airline, SpiceJet has also called for looking at reducing the airport costs within the country.

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