New Delhi, Feb 15 (FN Agency) Low-cost carrier SpiceJet on Tuesday reported a net profit of Rs 23.28 crore for the quarter ending December 31, 2021 as against a loss of Rs 56.9 crore in the corresponding period previous year signalling recovery in the aviation sector. The airline had a one-time exceptional adjustment of Rs 77.46 crore on account of settlement during the quarter under review. The airline’s total revenue from operations in the October-December quarter of the current financial year stood at Rs 2,259 crore as against Rs 1,686 crore in the same period last financial year logging a growth 34 per cent. Higher revenue came on the back of network and fleet expansion. “I am happy that SpiceJet reported a profit in Q3 FY2022 driven by excellent logistics operations, rebound in passenger traffic and various accommodations from aircraft manufacturer and lessors,” SpiceJet Chairman and Managing Director Ajay Singh said in a statement.
Singh noted that passenger industry witnessed the much needed turnaround in third quarter as Covid cases ebbed in the first half of the quarter, travel picked up significantly and there was finally hope that the worst was behind us. “However, that changed by the second half of December as Omicron halted that recovery. Our performance would have been much better but was impacted by the unexpected delay in the return to service of the 737 MAX, rising fuel costs and certain exceptional adjustments. I am happy to say that there are renewed signs of recovery in the passenger segment and the logistics segment continues to remain strong,” the airline Chairman said. SpiceJet said that its settlement with Boeing was a significant event during the quarter. After almost two years of challenging times due to pandemic, travel and hospitality sector has started showing strong signs of revival. With massive pent-up demand and strong rebound in the economy, the sector seems to be coming out of woods.