MUMBAI, July 20 (Xinhua) - Benefiting from the collapse of India's ailing Jet Airways, India's largest airline IndiGo reported a 43-fold rise in April-June net profit to 174.5 million US dollars, its highest ever quarterly net profit, said the airline release late on Friday.
The airline attributed the surge in net profit to strong passenger revenues and a sharp improvement in cargo performance with its share in domestic market rising to 48.1 percent in June 2019 from 39.7 percent in January 2018.
In June, 12.02 million passengers flew various airlines, up 6.2 percent over the corresponding month last year, according to the civil aviation regulator.
"Given the current environment of high yield, strong passenger load factor ensuing from Jet's downfall and favorable aviation turbine fuel prices, we expect domestic airlines IndiGo and SpiceJet to sustain margin expansion and improved profitability," said Paarth Gala, aviation analyst with Prabhudas Lilladher, a domestic stock brokerage house.
In April-May, SpiceJet and IndiGo induced 25 aircraft and 15 aircrafts respectively, driving its passenger growth by 24 percent and 23 percent respectively over the corresponding months last year, Gala said.
Commencing its operations in 1995, Jet Airways flew its last flight on April 17 and since then had grounded all its operations due to acute shortage of funds, leaving several thousands unemployed that benefitted rival airlines with rising airfares.
