IndiGo has reported a consolidated net loss of Rs 1,879.1 crore for the second quarter of FY27, highlighting the financial pressure facing India’s largest airline despite strong revenue growth.
The airline’s losses narrowed by 27.2 per cent compared with Rs 2,582.1 crore reported during the corresponding quarter of the previous year.
IndiGo’s revenue increased by 24 per cent year-on-year to Rs 24,311.9 crore. However, its operating expenses continued to rise, increasing by 18.6 per cent to Rs 26,188.4 crore.
One of the biggest challenges was the increase in aviation fuel expenditure. The airline’s fuel expenses surged by 67.2 per cent to approximately Rs 9,966.8 crore.
The weaker Indian rupee also increased the cost of dollar-denominated expenses, including aircraft leasing.
During its post-results discussion, IndiGo management indicated that the near-term business environment remained challenging.
The airline also confirmed that it would end its wide-body aircraft wet-lease arrangement with Norse Atlantic from November 1, citing high fuel costs and geopolitical challenges.
The financial results demonstrate that strong passenger revenue does not necessarily translate into profitability when fuel and operational expenses rise significantly.
IndiGo’s ability to manage costs while continuing its expansion will be closely watched by the aviation industry.