SpiceJet has reported a net profit of ₹46.1 crore for the fourth quarter ended March 31, 2018, up almost 11 per cent over the previous period.

In a statement, the airline said this was the 13th successive profitable quarter for the airline. The net profit for 2017-18 stood at ₹566.7 crore, making this the third successive year of profitable growth.

In the previous fiscal, the airline had reported a quarter net profit of ₹41.6 crore and ₹430.7 crore for the full year.

Operating revenues were at ₹2,029.3 crore for the current reporting quarter and ₹7,795.1 crore for the fiscal year.

On an EBITDAR or earnings before interest, taxes, depreciation, amortisation and rent /restructuring costs basis, the profit was ₹429 crore for the reporting quarter and ₹1,927 crore for the fiscal 2018.

Load factor

A 12.7 per cent increase in crude oil prices during the fourth quarter impacted the bottomline by about ₹81.4 crore, the company added.

It registered an 8 per cent increase in yield which helped it in maintaining operational profits.

In terms of operational parameters, SpiceJet had the best passenger load factor amongst all airlines in the country during the quarter and the year. The average domestic load factor for the quarter was 95.4 per cent, and for the year it was 94.7 per cent.

During the fourth quarter, the airline inked a $12.5-billion agreement with CFM International for the purchase of LEAP-1B engines to power its 155 Boeing 737 MAX fleet, along with spare engines.

“This will enable a significant reduction in our engine maintenance costs for our new Max fleet,” the airline said.

In a statement to the BSE, the airline said that the company has been consistently profitable for the last three financial years as a result of which the negative networth of ₹1485.2 crore as at March 31, 2015, has substantially improved, and was only ₹42.97 crore as at March 31, 2018.

The statement adds that the company’s net current liabilities have also reduced by similar amounts. “The earlier position of negative net worth and net current liabilities was the result of historical market factors,” the statement adds, pointing out that as a result of various operational, commercial and financial measures implemented over the last three years, the company has significantly improved its liquidity position and generated operating cash flows during the period.

“In view of the foregoing, and having regard to industry outlook in the markets in which the company operates, management is of the view that the company will be able to maintain profitable operations and raise funds as necessary, in order to meet its liabilities as they fall due.

Accordingly, these financial results have been prepared on the basis that the company will continue as a going concern for the foreseeable future,” the statement adds.

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