IndiGo Share Price In Focus After Airline Cuts Q3 Guidance

Shares of InterGlobe Aviation Ltd. the parent of budget carrier IndiGo is in focus on Thursday after the slashed its guidance for the third quarter of the financial year ending March 2026.

IndiGo, in an exchange notifcation late on Wednesday, said it expects high single to early double-digit growth in available seat kilometres (ASKs) in Q3, compared with the earlier projection of high-teens growth It also now expects a 'mid-single digit downward moderation' in passenger unit revenues (PRASK), instead of the earlier view of flattish to slight growth.

The airline said the overall financial impact "cannot be quantified at this stage" but added that it continues to monitor the revenue environment.

The airline did not provide the exact details of revenue loss. however, with 109 days in the winter schedule and 215 flights cut daily, the notional revenue loss could reach Rs 2,414 crore, as per NDTV Profit's calculations.

The revised outlook followed the Indian government’s direction requiring IndiGo to trim 10% of its planned flights, after the airline cancelled thousands of flights last week because of inadequate pilot roster planning for new rest and duty rules. The disruption left tens of thousands of passengers stranded and grounded several aircraft.

The company said its first week of December saw about 4,500 flight cancellations, triggered by steps taken to “reset” operations after significant disruption. It said the resulting loss of revenue and additional expenses would weigh on quarterly performance.

IndiGo said it "remains committed to assisting our customers, addressing their queries and requests on a war footing," and added, "We would like to reiterate that all our operations are fully compliant with the relevant FDTL norms and safety regulations, as they have been throughout the last two decades."