Jet Airways net losses jump eight-fold to Rs 891 cr
Mumbai: The Naresh Goyal-run Jet Airways Wednesday reported a eight-fold jump in losses at Rs 891 crore in the September quarter due to the fall in rupee and poor market conditions coupled with grounding of some of its aircraft.
The airline company, which sold 24 percent stake to UAE carrier Etihad in April, had reported loss of Rs 99.7 crore in the same quarter a year ago.
Net income, however, rose marginally to Rs 4,194.7 crore in the quarter ended September 30, 2013 from Rs 4,137.63 crore a year ago, Jet Airways said in an exchange filing this evening.
On a consolidated basis (Jet Airways and JetLite), net loss stood even higher at Rs 998.5 crore in the reporting quarter.
Lean season and economic slowdown resulted in drop in yields. Moreover, depreciating currency, high fuel prices and increases in airport charges at select domestic airports have driven cost pressures resulting into losses, the airline said.
"Domestic aviation industry witnessed increasing cost challenges, mainly due to rupee depreciation, high fuel prices and increase in airport charges in certain stations putting pressure on the bottom line," Jet Airways chief executive Garry Toomey said in the release.
Shares of the company closed at Rs 346.05 apiece, down 0.43 percent.