Air India Express, the low-cost airline of the Tata group's Air India, has posted a net loss of ₹163 crore in 2023-24 (FY24) as against a profit of ₹117 crore it rang up just a year earlier.
This nosedive stands out as it is only the second time in the past nine years that the airline has found itself in the red.
While the firm's income rose 33 per cent year-on-year (Y-oY) to ₹7,600 crore in FY24, expenditure grew 38.3 per cent to ₹7,763 crore in the same period, according to documents submitted to the Registrar of Companies and reviewed by Business Standard. According to sources, the primary reason for the loss in FY24 was its substantial expansion, particularly in the domestic market, bringing it into competition with market leader IndiGo on various routes.
This led Air India Express to align its fares with IndiGo's lower pricing on those routes, affecting profitability.
Bu hikaye Business Standard dergisinin September 07, 2024 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Giriş Yap
Bu hikaye Business Standard dergisinin September 07, 2024 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Giriş Yap
MISSING THE SPARK
Electric two-wheelers haven't quite taken off the way the industry predicted. Can Ola Electric's motorbike charge up the scene?
PSBs Must Plan Timely Capital Raise: Nagaraju
Public sector banks (PSBs) need to prepare a road map for appropriate and timely capital raising, work on efficient allocation of resources, and strive to bring down intermediation costs, said M Nagaraju, secretary, Department of Financial Services.
DIAL cries foul over flight ops from Hindon
Delhi HC refuses to grant interim relief, but agrees to hear plea
Options Trading Restrictions Drive Speculators Out of Market
India's retail options trading activity has plunged to a three-year low, marking an early victory for the market regulator after it imposed strict measures late last year to rein in the frenzy in derivatives.
Tracking Dietary Diversity
Time to Turn Our Attention to Quality of Food
Feb exports shrink 10.9%, the worst show in 20 mths
Imports also see first drop in 11 months, bringing trade deficit to over 3-yr low
RBI guv raps banks for poor grievance record
Reserve Bank of India (RBI) Governor Sanjay Malhotra came down heavily on regulated entities like banks and non-banking financial companies (NBFCs) for the spike in customer complaints in recent years, urging them to improve services and strengthen grievance redress in a time-bound manner.
India, New Zealand Call for Boost in Digital Payments Cooperation
India and New Zealand have agreed for talks to boost cooperation in digital payments and greater two-way trade and investment during the ongoing visit of New Zealand Prime Minister Christopher Luxon.
US to withdraw from EU-led group probing invasion of Ukraine
The US Justice Department has informed European officials that it is withdrawing from a multinational group created to investigate leaders responsible for the invasion of Ukraine, including President Vladimir Putin of Russia, according to a letter sent to members of the organisation on Monday.
Sensex snaps 5-day losing run, up 341 pts
Benchmark BSE Sensex rebounded by 341 points on Monday, snapping its five-day losing streak following buying in banking stocks and a sharp rally in global shares.
