InterGlobe Aviation Limited

InterGlobe Aviation reported a total income of ₹24,500 crores for Q3 FY26, a 7% increase year-over-year, despite facing operational disruptions. EBITDAR stood at ₹6,000 crores, broadly similar to the previous year. However, profit after tax significantly declined to ₹549.1 crores, compared to ₹2,400 crores in the same quarter last year, primarily due to exceptional items^📎 and currency movements. Excluding these impacts, profit was ₹3,130 crores, down from ₹3,850 crores last year, reflecting the challenging environment.

Early December 2025 saw significant operational disruptions, leading to over 2,500 flight cancellations and hundreds of delays between December 3rd and 5th. The company expressed deep regret for customer inconvenience and rapidly mobilized teams across airports, customer support, and operations to restore services. Post-disruption, daily flights scaled back to 2,100-2,200, and customer numbers rebounded to 3.8 lakh plus daily. The company processed timely refunds, extended travel vouchers, and is conducting an in-depth review of internal processes to enhance robustness and resilience.

IndiGo introduced India's first Airbus A321 XLR, featuring a dual-class cabin, commencing international operations to Athens. The airline also began operations at Navi Mumbai International Airport on December 25th with 15 daily flights to key cities. The business class product, 'Stretch,' launched in November 2024, is now operating on 8 domestic and 9 international routes and is expanding to 65 aircraft. The BluChip loyalty program has grown to approximately 10 million customers, enhancing customer engagement and understanding preferences.

The company's fuel CASK reduced by 3% despite a 2% increase in benchmark Singapore Jet fuel prices, driven by negotiated rates, fleet mix changes, and an expanded international network. However, CASK ex-fuel ex-forex increased by approximately 2% year-over-year to ₹2.96, primarily due to annual contractual increases and a 5% depreciation of the Indian Rupee. This depreciation led to a significant forex loss of ₹10.4 billion on dollar-based net future obligations of approximately $10 billion.

In compliance with new consolidated labor laws, IndiGo recognized a one-off^📎 provision of ₹9.7 billion for revised employee benefits, including gratuity and compensated absences. Additionally, the Directorate General of Civil Aviation (DGCA) imposed a penalty of ₹222 million related to the December operational disruptions, which has been provisioned as an exceptional item^📎. The company is preparing thoroughly for the transition to revised Flight Duty Time Limitations (FDTL) norms in February.

For Q4 FY26, IndiGo expects capacity (ASKs) to grow by approximately 10% year-over-year, a moderation driven by schedule adjustments to align with regulatory requirements. Unit passenger revenue is anticipated to see an early to mid-single digit moderation compared to a high base in the previous year, which benefited from religious congregations. The company's full-year FY26 unit costs excluding fuel and forex are estimated to increase by a mid-single digit percentage compared to FY25, reflecting ongoing cost pressures.

IndiGo served 124 million customers in calendar year 2025, a 9% increase year-over-year, and operated nearly 8 lakh flights, positioning it among the top global airlines. The company continues to focus on operational efficiency, customer service, and long-term growth, aiming to double in size by the end of the decade. Strategic steps include a capital investment of $820 million in GIFT city for aviation asset acquisition and expanding international operations to create a natural hedge against currency fluctuations.