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Aviation Sector Q4 Earnings Preview - Expect Flattish Loss: ICICI Securities

Aviation Sector Q4 Earnings Preview - Expect Flattish Loss: ICICI Securities

Travelers wearing protective mask sit outside at Netaji Subhas Chandra Bose International Airport in Kolkata, India. (Photographer Arco Dato/Bloomberg)
Travelers wearing protective mask sit outside at Netaji Subhas Chandra Bose International Airport in Kolkata, India. (Photographer Arco Dato/Bloomberg)

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ICICI Securities Report

Fourth quarter is normally a weak quarter for airlines, more so in Q4 FY21 due to higher crude prices.

However, higher number of passengers will incrementally help airlines absorb costs on a sequential basis.

We estimate Q4 /FY21 loss of Rs 7.6 billion/54 billion for InterGlobe Aviation Ltd. and Rs 967 million/8.7 billion for SpiceJet Ltd.

Without factoring in the currency-related impact, we expect IndiGo and SpiceJet to report Q4/FY21 loss of Rs 7.4 billion/60.4 billion and Rs 917 million/9.5 billion, respectively.

Click on the attachment to read the full report:

ICICI Securities Aviation Q4FY21 Preview.pdf

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