Jet Airways is India’s premier international airline which operates flights to 64 destinations, including India and overseas. Jet Airways’ robust domestic India network spans the length and breadth of the country covering metro cities, state capitals and emerging destinations. Beyond India, Jet Airways operates flights to key international destinations in South East Asia, South Asia, Middle East, Europe and North America. The Jet Airways Group currently operates a fleet of 115 aircraft, comprising Boeing 777-300 ERs, Airbus A330-200/300, Next Generation Boeing 737s and ATR 72-500/600s.
Yash Ved of Newsbarons provides you the highlights of a media interaction, where Vinay Dube, Chief Executive Officer, Jet Airways informed “We continue to grow our domestic presence while keeping a tight control on costs.”
NB: Brief us about the overall performance for the quarter?
Vinay Dube: The overall CASK dropped due to the airline’s ongoing efforts to improve operational efficiencies throughout its business. CASK-excluding fuel fell by 5.3% to INR 3.07 against INR 3.24 in Q2 FY’17 – in line with Jet Airways’ plan to achieve a 12-15% reduction in non-fuel CASK over the next 8-10 quarters.There was the strong traffic growth of 7.2%.
Despite increase in fuel cost, the airline continued to take steps to strengthen its domestic network footprint by augmenting services between emerging cities such as Jaipur, Lucknow, Chandigarh, Dehradun, Udaipur and Indore during the quarter, in order to facilitate the rising demand as well as travel aspirations of guests from these fast-growing cities.
About 40% of overall partnership growth comes from Etihad.
NB: How was the quarter as a whole?
Vinay Dube: This is the tenth consecutive profitable quarters for the Group.
The weak demand in the Gulf continues, whilst low fares as well as yields in the domestic market have limited the ability to offset the increase in fuel prices.
We continue to grow our domestic presence while keeping a tight control on costs, reflecting in the reduction in non-fuel CASK.
NB: Brief us about your partnership with Airbnb?
Vinay Dube: The airline signed an partnership with Airbnb – the world’s leading community-driven hospitality company allowing it to offer a wide spectrum of rapidly growing, global hospitality choices to guests from India and establishing a deeper connect with the new-age Indian traveller, who is increasingly seeking unique and interesting experiences, while travelling in India as abroad.
NB: Brief us about your Financials?
Vinay Dube: We have reported a net profit of INR 71 crores for the second quarter of FY’18, backed by growth in capacity, revenues as well as accompanying reduction in non-fuel costs.
The total Revenues increase to INR 5,952 cr in Q2 FY’17, while Passenger revenue also surge to INR 5,147 crore against Q2 FY’17
NB: What was the debt for the quarter?
Vinay Dube: During the quarter, the airline reduced its net debt by INR 194 crore.