InterGlobe Aviation (INDIGO) Q1 26/27 earnings summary

Executive summary

• Reported a net loss of INR 2,380 million for Q1 FY 2027, compared to a profit of INR 21,763 million in the same quarter last year, amid a volatile cost environment and elevated fuel prices.

• Total income grew 19% year-over-year to INR 256 billion, with yield growth of 21.3% and a 1.3% reduction in load factor.

• Passenger demand remained resilient, with 31.3 million passengers served, up 1% year-over-year.

• Disciplined pricing actions and network adjustments helped partially offset cost pressures.

• ASK grew 2.9% and RPK increased 1.4% compared to Q1 FY26, with load factor slightly down by 1.3 pts to 83.3%.

Financial highlights

• EBITDA/EBITDAR was INR 38.3 billion at a margin of 15.6%, down from INR 57.4 billion and 28% margin year-over-year.

• Revenue from operations reached INR 245,841 million, up 19.9% year-over-year.

• Total expenses surged 34.4% to INR 258,525 million, mainly due to an 85.7% jump in aircraft fuel expenses.

• Yield improved 21.3% to INR 6.04, while RASK increased 16.5% to INR 5.66.

• CASK ex-fuel, ex-forex rose 11% year-over-year to INR 3.20, impacted by rupee depreciation and lower utilization.

Outlook and guidance

• Q2 FY 2027 capacity growth expected to be flat year-over-year, reflecting prudent management amid volatility.

• PRASK for Q2 FY 2027 expected to grow over 25% year-over-year, with yields holding up and loads expected to be flattish or slightly down.

• Full-year ASK guidance remains in single digits, with mid-teens growth targeted from FY 2027 to FY 2030.

• International ASK share expected to reach 40% by 2030, with current levels at 33%.

• The company is awaiting detailed guidelines on the Price Stabilisation Fund for aviation fuel and has not yet decided on participation.