Jet Airways Ltd.’s profit fell for the second straight quarter due to higher fuel expenses.
Net profit decreased 46 percent year-on-year to Rs 165.2 crore in the October-December quarter, Jet Airways said in a stock exchange filing. That compares with the Bloomberg consensus estimate of Rs 181.3 crore. The bottom line was hit by fuel expenses which has increased 28.7 percent to Rs 1,840.08 crore due to rising Brent crude prices.
Revenue increased 10 percent to Rs 6,086.2 crore as compared to the same quarter last year. This too fell short of the Rs 6506.55 crore estimated.
- Operating income of India’s second-largest airline rose 3 percent to Rs 865 crore.
- Operating margin narrowed 100 basis points to 14.2 percent.
- Insurance claim received towards damage of aircraft for the quarter amounted to Rs 10.53 crore.
- Other income fell 38.73 percent to Rs 263.14 crore.
Jet Airways, along with IndiGo, SpiceJet Ltd., Zoom Air and Turbo Megha Airways won fresh routes in the second round of bidding of the regional connectivity scheme or UDAN.
Ahead of the earnings announcement, shares fell 2.17 percent on the BSE. Shares rose nearly 73 percent during the quarter.