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Jet Airways posted a 25.5 per cent growth in net profit for the quarter ended September 30, posting a second quarter profit after eight years, as low aviation turbine fuel prices and high passenger traffic boosted company’s turnaround efforts.
Jet’s total revenue for the second quarter increased 8.1 per cent to ₹5,504 crores from ₹5,092 crores last year. Passenger revenues rose 9.5 per cent to ₹4,682 crores from ₹4,277 crores. Net income grew 25.5 per cent to ₹87.6 crore.
Naresh Goyal, Chairman of Jet Airways, said: “The Indian domestic aviation market is witnessing robust growth with traffic growing by 20 per cent. Jet Airways is committed to contributing to this growth by providing enhanced connectivity. Our financial performance in the second quarter clearly demonstrates that our efforts are showing results.”
In Q2 FY16, Jet Group’s domestic capacity grew by 16.6 per cent, while passenger numbers grew 34.5 per cent, which were much higher than the industry growth. At the same time, in international business, the airline registered a 6.6 per cent growth in capacity and a 9.7 per cent growth in passengers. This improvement is the result of optimising the network to enable tighter integration between domestic and international networks, enhanced synergies with partner carriers and improved operational performance, the company said.
“It is encouraging to report a profit in the second quarter, which is traditionally a lean season for the aviation sector,” said Cramer Ball, Chief Executive Officer of Jet Airways.
“While robust competition in the Indian aviation sector continues to put pressure on yields, we have continued to make progress by focusing on improving operational efficiency.”
During Q2 FY16, Jet Airways further enhanced its global network by expanding its codeshare partnerships with Etihad Airways, South African Airways, airberlin and Virgin Atlantic. The airline witnessed a growth of 29 per cent in overall codeshare traffic, while at the same time the codeshare traffic by strategic partner Etihad Airways and its partner airlines grew by 87 per cent.
Jet Airways has launched 19 additional frequencies and eight new flights during the 2015 Winter Schedule.
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