ECONOMY

IndiGo Q4 Review – Getting Back On The Runway: Motilal Oswal

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Interglobe Aviation Ltd. reported a miss on our estimates mainly led by lower-than-estimated yield (at Rs 4.4), with revenue passenger kilometre being 15% below our estimate.

Lower passenger load factor (at 76.5%) due to Omicron impacted the revenue per available seat-kilometer adversely (down 3% QoQ) in Q4 FY22.

Management highlighted that the international flights operated in March 2022 were 100 plus and are 90% of their pre-Covid levels, in April-May 2022.

That said, according to our airfare tracker, the 30-day forward prices dipped sharply (down 6% month-on-month) in May-22 and the 15-day forward prices also dipped 5% month-on-month due to the pent-up demand with more capacity coming in.

IndiGo’s Q4 FY22 yield was lower despite higher per unit fuel prices (up 59% YoY), and depreciation in rupee (led to higher forex loss of Rs 6.1 billion).

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.



Most Related Links :
honestcolumnist Governmental News Finance News

Source link

Back to top button