IndiGo Shares Rise As CEO Says Worst Disruption Phase Over, Network Restored To 2,200 Flights
CEO Elbers said the disruption appeared to be the result of a compounding effect of several factors, rather than a single trigger.
IndiGo chief executive officer Pieter Elbers on Thursday said the airline has emerged from its recent operational disruptions, with the network fully restored to around 2,200 flights a day. Shares of the company have since been trading at a uptick, as high as nearly 3%.
In a message to employees, Elbers said the airline’s staff stood “tall and united” through the disruption, thanking pilots, cabin crew, airport teams, operations control centre staff, customer service teams and other functions for supporting passengers and stabilising operations.
“We weathered the storm together,” Elbers said, adding that the airline has now shifted its focus to three priorities — resilience, root cause analysis and rebuilding.
Elbers said the disruption appeared to be the result of a compounding effect of several factors, rather than a single trigger. To address this, the IndiGo board has appointed an external aviation expert to conduct a comprehensive root cause analysis.
“Through the storm, we found our wings again,” Elbers said, urging employees not to let the three-day disruption between Dec. 3 and Dec. 5 define what the airline has collectively built over nearly two decades.
IndiGo Share Price Today
The scrip rose as much as 2.73% to Rs 5,113 apiece. It pared gains to trade 2.60% higher at Rs 5,106.50 apiece, as of 11:57 a.m. This compares to a 0.21% advance in the NSE Nifty 50 Index.
It has risen 12.24% on a year-to-date basis. Total traded volume so far in the day stood at 0.91 times its 30-day average. The relative strength index was at 19.89.
Out of 26 analysts tracking the company, 20 maintain a 'buy' rating, three recommend a 'hold,' and three suggest 'sell,' according to Bloomberg data. The average 12-month consensus price target implies an upside of 15.8%.
