Emerging out of its losses, private-carrier Jet Airways today posted a net profit of Rs 1.24 crore in the second quarter, but the Naresh Goyal-led group, including the no-frill carriers, posted a loss of Rs 5 crore, which was much less than before.
Riding high on the increasing passenger load factor, Jet group's total revenue rose by an impressive 31.2 per cent to over Rs 352 crore, with its international operations accounting for almost 60 per cent of the total earnings and domestic operations accounting for the rest.
While the full-frill carrier alone reported after tax profit of Rs 1.24 crore, which was way above the net loss of over Rs 40 crore last fiscal, the post-tax losses of its no-frill carrier stood at Rs 5.75 crore compared with Rs 12.4 crore last year.
The growth in capacity that Jet introduced in the market matched with its revenue earnings. While the average seat per kilometre grew by 22.6 per cent, the revenue per kilometre rose by 23.3 per cent, according to the Q2 results.
Announcing the second quarter results, Jet CEO Nikos Kardassis said the company not only achieved the best on-time performance, but offered multiple products to suit the unique needs of customers.
"Our ability to expand market share in a highly competitive market augurs well for the future, as it clearly reveals that Jet Airways is fast emerging as the airline of choice from and to the Indian subcontinent," he said.
The Jet Group has maintained its leadership position in the Indian aviation industry, with the highest market share of 26.9 per cent for the quarter ending September, while its on time performance stood at 84 per cent for the quarter.
"With the introduction of new service from Mumbai and Delhi to Colombo and Delhi to Milan by the year end, Jet Airways is set to further consolidate its dominant market leadership as the preferred airline," Kardassis announced.
While Colombo flights would be launched on November 5, the operations to Milan would begin from December 5.
Jet Airways currently operates a fleet of 90 aircraft, which includes 10 Boeing 777-300 Extended Range planes, 12 Airbus A330-200s, 54 next generation Boeing 737-700/800/900s and 14 ATR 72-500 turboprop aircraft.
While international operations of Rs 186.8 crore accounted for 59.5 per cent of total revenues, the domestic operations worth Rs 127.18 crore accounted for 40.5 per cent.
The buoyancy in Indian domestic travel market has been fuelled by a healthy GDP growth and increased business confidence, Kardassis pointed out.
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