IndiGo Stocks Jumps 5% Despite Q4 Losses As Brokerages Remain Bullish

Shares of aviation major InterGlobe Aviation, which operates the IndiGo airline, rose sharply on Monday even as the company reported a large loss for the March quarter.

The stock opened 2.3 percent higher at ₹4,508 compared to its previous close of ₹4,405.

During early trading, the share price climbed further to ₹4,633, marking a gain of more than 5 percent.

The rally came even as broader equity markets turned weak after a positive opening.

Company Reports Loss In March Quarter

IndiGo reported a consolidated net loss of ₹2,536.9 crore for the fourth quarter of FY26.

This was a sharp reversal from the profit of ₹3,067.5 crore reported in the same quarter last year.

The airline also moved into the red on a sequential basis.

In the December quarter (Q3 FY26), the company had posted a profit of ₹549.1 crore.

However, higher costs and foreign exchange losses significantly impacted earnings during the March quarter.

Revenue Continues To Grow

Despite the loss, IndiGo's revenue remained largely stable.

Revenue from operations increased 1.3 percent year-on-year to ₹22,438.4 crore from ₹22,151.9 crore in the corresponding quarter last year.

Total income rose to ₹23,830.7 crore during the quarter.

However, compared to the December quarter, revenue from operations declined 4.4 percent from ₹23,471.9 crore.

The decline reflected softer performance during the final quarter of the financial year.

Higher Expenses Hit Profitability

The biggest pressure on earnings came from rising expenses.

Total expenses increased to ₹25,932.5 crore from ₹22,431.9 crore in the previous quarter.

A major reason was foreign exchange losses of ₹1,113.4 crore during the quarter.

The airline also recorded an exceptional charge of ₹249.9 crore linked to the implementation of new labour codes.

As a result, profit before tax stood at a loss of ₹2,351.7 crore compared with a profit of ₹562.2 crore in the December quarter.

Brokerages Remain Positive On Long-Term Outlook

Despite the weak quarterly numbers, investors appeared focused on IndiGo’s long-term growth prospects.

Market experts believe the airline remains well-positioned due to its strong domestic market presence and expansion plans.

The company stated that the exceptional charge was related to additional employee benefit obligations arising from new labour regulations.

Analysts also noted that foreign exchange losses were a significant one-time factor affecting profitability.

This optimism helped the stock outperform the broader market even after the disappointing earnings announcement.