IndiGo Warns of Slower Growth After Quarterly Loss

IndiGo expects its capacity growth to slow sharply in the first quarter of fiscal 2027 after reporting a quarterly loss impacted by higher fuel prices, a weaker rupee and reduced flight capacity. The airline now forecasts growth of around 3% to 4%, down from 16.4% growth recorded a year earlier.

India’s largest airline, which controls more than 60% of the domestic market, faced operational disruptions and regulatory restrictions that forced a 10% cut in domestic capacity. The company also reported a major foreign exchange loss as the falling rupee increased dollar-linked expenses, which make up a significant portion of its operating costs.

Rising crude oil prices linked to Middle East tensions further hurt profitability, as IndiGo does not hedge fuel costs. The airline posted a net loss of ₹26.62 billion for the March quarter despite a slight rise in revenue, with expenses surging nearly 31% year-on-year.

Pic courtesy: google/ images are subject to copyright