People started flying more to destinations within India and abroad, carrying domestic air traffic above pre-covid highs in the October to December quarter of FY23. Aircraft fuel prices were also slashed by 2.3 per cent in December 2022, before seeing another reduction all the way to Rs 1.08 lakh per kilolitre in January 2023. All these have propelled IndiGo's profits by 1000 per cent to Rs 1,422 crore in the third quarter of the financial year.
A rise of more than 135 per cent in people travelling abroad between January to November 2022, after covid restrictions were lifted, also scaled up demand for airlines. As one of India's top carriers, IndiGo reported a 61 per cent rise in revenues, thanks to the aviation sector's recovery. Concerns about rising infections in China did lead to restrictions towards the end of December, but failed to bog down IndiGo.
Before the results brought good news, IndiGo had already scaled up its services by adding the first wide-bodied aircraft to its fleet, offering business class for people travelling to Istanbul. The massive surge in numbers has also helped IndiGo post its first profit in a year, as the post-pandemic recovery seems to have been achieved.
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