SpiceJet, reported its third quarter results of the fiscal year 2018-19 which reflected mixed performance. While a profit of 55.1 crore is definitely good news, when compared to the same period last year, the profit declined by 77 per cent. Performance also cannot be cited as definitive as this came during the strongest quarter of the year. Further, the induction of nine Boeing 737 MAX 8s which delivered strong sale and leaseback gains for the airline and impacted overall profit. SpiceJet saw a revenue increase of 20 per cent against a capacity increase of 16 per cent. Yields were stronger with higher fares for the quarter which were up by eight per cent. Load factors fell compared to the last quarter which indicates that SpiceJet was more aggressive with revenue management and managed to drive yields.
Overall costs increased by 33 per cent compared to the same period last year. This was driven by ATF costs that were higher by 38 to 40 per cent and a weaker rupee that was down by 11 per cent. SpiceJet ended the quarter with 27 Bombardier Q400s and 49 Boeing 737s including one freighter. The Bombardier Q400 strategy continues to serve the airline well and its focus on more Udan routes is proof of the same.