Middle East Crisis and own arbitrariness spoiled the game of Indigo, loss of Rs 2500 crore in three months

InterGlobe Aviation, the parent company of the country’s largest airline IndiGo, has suffered a big loss in the March 2026 quarter. The company said in its fourth quarter results released on May 29 that it has incurred a net loss of Rs 2,536 crore. In the same quarter last year, the company had made a profit of Rs 3,068 crore.

According to the company, capacity limitations in domestic flights, weak rupee and continuously rising prices of aviation fuel put huge pressure on the business. Apart from this, increasing operating costs also affected profits.

slight increase in income

However, despite the losses, there was a slight increase in the total income of the company. IndiGo’s income from operations increased to Rs 22,438 crore in the January-March 2026 quarter, compared to Rs 22,152 crore in the same period last year. During this period, the company also incurred a one-time expenditure of Rs 250 crore, which further affected its financial performance.

Focus on aircraft purchase

IndiGo’s board has approved partial prepayment of finance lease obligations given to the company’s subsidiary InterGlobe Aviation Financial Services IFSC Pvt. Ltd. The company will repay the amount up to $450 million in phases.

The airline said that this amount will be used to purchase aircraft, aircraft engines and aircraft parts. With this, the company will be able to increase its aircraft ownership and control operating costs better in future.

Financial year 2026 has been challenging

Indigo Managing Director Rahul Bhatia said that the financial year 2026 has been very difficult for the airline sector. He said that despite the challenging environment, the company’s core business remains strong.

He said that the company’s capacity increased by 9.5% in the entire year and total income increased by more than 6%. Excluding foreign exchange fluctuations and special items, the company made a profit of Rs 7,500 crore.

decline in passenger numbers

The airline’s capacity during the quarter increased by 3.4% to 43.6 billion ASK. However, due to the ongoing tension in the Middle East, flights were affected. The number of passengers declined by 1.1% to 3.16 crore. The load factor decreased to 85.8%. After the results, Indigo shares closed 3% lower at Rs 4,420 on May 29.

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