Jet Airways Q2 net profit at INR 71 crores

Jet Airways Q2 net profit at INR 71 crores

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The Jet Airways Group reported a net profit of INR 71 crores for the second quarter of FY’18 – its tenth successive profitable quarter, backed by growth in capacity, revenues as well as accompanying reduction in non-fuel costs. During the quarter, the airline reduced its net debt by INR 194 crore.

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 percent to INR 3.07 against INR 3.24 in Q2 FY’17 – in line with Jet Airways’ plan to achieve a 12-15 percent reduction in non-fuel CASK over the next 8-10 quarters.

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.

Vinay Dube, Chief Executive Officer, Jet Airways, said, “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. In line with our commitment to offer guests a superior experience, we continue to grow our domestic presence while keeping a tight control on costs, reflecting in the reduction in non-fuel CASK.”

The airline’s focus in connecting global travellers as a result of its cooperation with codeshare partners such as Air France-KLM, Virgin Atlantic and Delta Air Lines, drew robust dividends and the airline’s percentage of alliance revenues went up by 8% during the recent Quarter.