The world wants to travel, and airlines are minting money hand over fist in the process. Earlier, we reported how Emirates and Singapore Airlines made record profits; now, we have an Indian carrier join the list.

IndiGo clocks (almost) a Billion dollars in profit in the Financial Year 2023-24

IndiGo today reported exceptional financial results for the fiscal year 2024 (FY24), ending on March 31, 2024. The financial results for FY24 showcase IndiGo’s resilience and adaptability. The airline posted a net profit of INR 8,172.5 crores (approximately USD 1 billion), a remarkable achievement considering the challenges faced by the aviation industry in recent years. For reference, IndiGo itself was running a loss of INR 305.8 crores exactly four quarters ago (one year back). So, the airline delivered a 2773% profit growth in a year.

 

IndiGo’s total income for FY24 reached an all-time high of INR 71,231 crores (approximately USD 8.55 billion), fuelled by a substantial increase in passenger traffic and ancillary revenue streams. It must also include all the income that IndiGo generates from the sale and leaseback of aircraft (IndiGo added 65 aircraft in FY24, including 12 on damp lease) and the compensation it is receiving from Pratt & Whitney for approximately 70 aircraft on the ground.

The airline carried a record-breaking number of passengers (106.7 Million) during the fiscal year, reflecting India’s growing demand for air travel and IndiGo’s strong market position. IndiGo had set itself the target of flying at least 100 million passengers during the 12 months, and it comfortably beat its target.

One of the key drivers of IndiGo’s success in FY24 was its robust domestic performance. The airline capitalized on the strong rebound in domestic travel demand. By expanding its network and increasing frequencies on popular routes, IndiGo was able to cater to the growing appetite for air travel within India. IndiGo now flies to 88 domestic destinations, out of which 10 were added in the past year.

In addition to its strong domestic performance, IndiGo also made significant strides in its international operations. The airline launched several new international routes during FY24, expanding its reach to new markets and offering more travel options to its customers. IndiGo now flies over 100 routes to 33 international destinations from India. This strategic expansion has contributed to the airline’s revenue growth and strengthened its position as a global player in the aviation industry.

On the occasion of the results, IndiGo CEO Pieter Elbers said,

“FY24 has been a year of many remarkable achievements and milestones. For the full financial year 2024, we reported our highest ever total income of around 712 billion rupees with a net profit of around 82 billion rupees and a net profit margin of 11.9%. The 4th quarter financial results were positive, making it all four quarters in FY24 profitable. The strong execution of our strategy has yielded consistent results for us as we achieved the targets that we had set for ourselves as a team at the beginning of the year.”

IndiGo is also on the path of changing its business model. On the sidelines of the result announcement, IndiGo also announced that it has greenlit the move into business class for IndiGo on domestic routes, which is perhaps the airline’s initial round of business class introduction as it prepares to induct the A321XLR and then the A350s into its fleet later in the decade.

Bottomline

IndiGo had a great year, delivering a billion dollars in profits in the year FY24 and carrying over 100 million passengers. The airline is preparing to introduce a business section on board some of its aircraft.

What do you make of the financial results of IndiGo?

---

Liked our articles and our efforts? Please pay an amount you are comfortable with; an amount you believe is the fair price for the content you have consumed. Please enter an amount in the box below and click on the button to pay; you can use Netbanking, Debit/Credit Cards, UPI, QR codes, or any Wallet to pay. Every contribution helps cover the cost of the content generated for your benefit.

(Important: to receive confirmation and details of your transaction, please enter a valid email address in the pop-up form that will appear after you click the ‘Pay Now’ button. For international transactions, use Paypal to process the transaction.)

We are not putting our articles behind any paywall where you are asked to pay before you read an article. We are asking you to pay after you have read the article if you are satisfied with the quality and our efforts.