Jet Airways Cruises Through In The Second Quarter

Jet Airways Ltd. saw a 23.42 percent jump in net profit in the July to September quarter, beating street estimates.

Net profit increased to Rs 108.11 crore from Rs 87.59 crore in the same quarter last year, according to the company's filing with the stock exchanges. The profit beat the Rs 73.87 crore consensus of analysts tracked by Bloomberg.

Cost operational efficiency coupled with better yields boosted the bottomline of the country second largest domestic airline, as per market share.

Jet Airways reduced its net debt by Rs 252.40 crore for the quarter ended September 30, 2016. Net debt was reduced by Rs 433 crore in H1FY17.

Total income rose by 3.08 percent to Rs 5,420.35 crore against Rs 5,257.97 crore in the same quarter last year, meeting estimates. The consensus estimate of analysts polled by Bloomberg stood at Rs 5,470.68 crore.

Earnings before interest, tax, depreciation and amortisation rose 17.87 to Rs 637.32 crore, and margins expanded by 147 bps to come in at 11.76 percent.

Aiding the operational profit was a 2.18 percent drop in aircraft fuel, which came in at Rs 1,307.36 crore v/s Rs 1336.61 crore in the same period last year. Aircraft maintenance costs also dipped by 18.56 percent in the same period.

Operating profit has been much higher had it not been for a sharp rise in employee expenses from to Rs 813.35 crore for the September quarter as compared to Rs 595.40 crore in the same quarter last year.

Consolidated Performance

Jet Airway's consolidated net profit rose by 2.5 percent to Rs 84.9 crore for the quarter against Rs 82.9 crore a period ago. Its total revenue also registered a 3.2 percent year-on-year growth to come in at Rs 586.45 crore in Q2FY17. EBITDA grew five folds year-on-year to Rs 512.70 crore.

Jet Airways Holds On To The Second Spot

Jet Airways (Jet Airways + Jet Lite) continued to occupy the second spot with 19.0 percent market share.

Enhanced international connectivity in winter 2016 schedule:

• Additional flights to SAARC from Mumbai & New Delhi, respectively
• Daily flights to Dubai from Thiruvananthapuram
• Direct flight from Bengaluru to Singapore, further expanding connectivity across the ASEAN region.
• Additional flight from Abu Dhabi to Delhi and new frequency to Tiruchirappalli
• New flight from Sharjah to Kozhikode and Hyderabad