IndiGo profit slips 18 pc to ₹2,448 crore over forex loss
InterGlobe Aviation, which operates IndiGo, saw an 18.3 per cent decline in net profit in third quarter FY25 to ₹2,448 crore on a year on year basis as rupee depreciation offset the gains of strong passenger demand and revenue growth.
While revenue from operations grew 13.7 per cent to ₹22,110 crore, weakening of rupee resulted in a mark to market loss of ₹1,400 crore. Excluding foreign exchange loss the net profit grew 26.1 per cent to ₹3,846 crore.
IndiGo has begun currency hedging for its dollar spend in view of the volatility in rupee. Expansion in the international network will also act as a natural hedge against currency fluctuation.

Increase capacity
The airline will increase capacity by 20 per cent on a year on year basis and plans to add two international destinations by March-end taking total such destinations to 40. IndiGo’s chief executive Pieter Elbers said the airline is also exploring route and network opportunities as it looks for an early induction of long range aircraft.
The airline benefitted from a rebound in demand after sluggish first half of CY2024 resulting in over 12 per cent increase in passengers in third quarter FY 25 on a year on year basis. It also reported a load factor of over 90 per cent in November and December. IndiGo made a net addition of 27 aircraft in the third quarter taking its total fleet (including leased planes) count to 437. The airline added 50 new routes in the third quarter, Elbers said.
The airline’s chief financial officer Gaurav Negi said aircraft groundings have passed their peak. While currently around 60 aircraft of IndiGo are on ground, the figure would reduce will be in 40s by the start of next financial year.
Negi said a significant portion of the airline’s lease liabilities and maintenance obligations are denominated in US dollars. Net exposure is forex liabilities minus forex deposits and weakening of rupee results in mark to market losses for the airline. “We will increase our hedging position and benefit from natural hedge as we expand our international operations,” Negi added. At present around ten per cent of the airline’s revenue comes from international routes.
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