New Delhi: InterGlobe Aviation reported a net loss of Rs 2,844.3 crore for the June ended quarter when compared to a net profit of Rs 1,203.1 crore for the same period last year. The parent of IndiGo Airlines saw its revenue plunge by 91.9 percent year-on-year to Rs 766.7 crore from a year ago.
The quarter is especially critical as airlines were not allowed to operate flights commercially for most of the April-June period due to COVID-19 outbreak and asked to refund passengers for their cancelled ticket.
The low-cost carrier said it had a total cash balance at the end of 30 June was at Rs 18,449.8 crore comprising Rs 7,527.6 crore of free cash and Rs 10,922.2 crore of restricted cash. Cash management is of vital importance for the company as the aviation business is expected to take the longest to reach the optimal operational level or profitability.
“The aviation industry is going through a crisis of survival and therefore, our cash balance remains our number one priority. However, we also recognize that major disruptions offer companies opportunities for improvement in product, customer preference, costs and employee engagement. We have built a strong team which is working on multiple fronts to ensure that we emerge from this crisis stronger than ever,” said Ronojoy Dutta, CEO.
