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SpiceJet posts highest annual profit in its history

Staff writer |
SpiceJet reported a net profit of Rs.73 Crore for Q4 FY16, after taking a one-time expense of Rs.173 Croretowards stabilising and improving the reliability of it’sfleet.

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Despite this one-time expense, the net profit is an improvement of 225%over the same quarter last year. SpiceJet reported a net profit of Rs. 407 Crore for FY2016 as against a loss of Rs. 687 Crore for FY 2015, a positive change of Rs. 1094 Crores.

SpiceJet generated an operational revenue of Rs.1,475 Crore in the current quarter, a growth of 86%over same quarter last year.For FY 2016, SpiceJet posted an operational revenue of Rs.5,088 Crore a reduction of 3% over FY 2015, while its capacity deployed reduced by 11% over the same period.

On an EBITDA basis, SpiceJet reported a profit of Rs.146 Crore against a profit of Rs.80 Crore in the same quarter last year; and a profit of Rs.640 Crore for FY2016 against a loss of Rs.397 Crore during FY2015.

On an EBITDAR basis, the company reported a profit of Rs.393 Crore against a profit of Rs.196 Crore in the same quarter last year and a profit of Rs.1,446 Crore for FY2016 against a profit of Rs.467 Crore during FY2015.

For the quarter:

Operating revenue per Available Seat Kilometre (ASKM)registered a growth of 21% over the same quarter last year.

Expenses excluding the one-time expense per ASKM declined 6%. Fuel cost declined by 25%, which is an impact of 8% on total cost. Currency depreciation impacted cost negatively by 3%.

For the fiscal year:

Operating revenue per ASKM registered a growth of9% over last year. Total expenses (excluding the one-time expense) per ASKM declined 13%.

The increase in unit revenue were a combined result of higher load factors, tighter revenue management and a substantial increase in Ancillary revenue.

Unit cost reduction was achieved through contract renegotiation, higher resource productivity, and restructuring of operations, but were adversely impacted by currency depreciation and legacy issues.

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