Mumbai: India’s largest airline, IndiGo, is reinforcing its growth strategy through steady financial performance and a significant pipeline of aircraft additions that will support capacity expansion over the coming years.
CRISIL Ratings has reaffirmed IndiGo’s long-term bank facility rating at CRISIL AA-/Positive and short-term rating at CRISIL A1+, removing them from “Rating Watch with Developing Implications.” The ratings cover total bank loan facilities of Rs 9,000 crore. The rating agency cited IndiGo’s recovery from earlier operational disruptions and the airline’s strong liquidity position as key reasons for reaffirming the ratings and maintaining the Positive outlook.
IndiGo continues to expand its fleet as part of its growth strategy. The airline operated a fleet of 440 aircraft as of December 2025 and has placed orders for around 900 aircraft for future deliveries. The carrier currently operates more than 2,200 daily flights and connects 96 domestic destinations and 41 international destinations, along with several codeshare partnerships with global airlines. The planned fleet additions are expected to strengthen the airline’s already dominant position in India’s aviation sector.
IndiGo reported operating income of Rs 80,986 crore in fiscal 2025, compared with Rs 69,056 crore in fiscal 2024. The airline recorded a profit after tax of Rs 7,258 crore, with a PAT margin of 8.96 percent. During the first nine months of fiscal 2026, revenue from operations increased 6.6 percent to Rs 62,524 crore, supported by healthy passenger demand across domestic and international networks despite disruptions during the year. Operating margins during this period were affected by external challenges and foreign exchange losses linked to rupee depreciation.
The airline maintains a strong liquidity position to support its expansion strategy. As of December 31, 2025, IndiGo held unencumbered cash and equivalents of around Rs 36,945 crore, along with Rs 14,662 crore of restricted cash related to lease and maintenance obligations.
CRISIL expects the airline’s net debt to EBITDA ratio to remain around 2.0–2.1 times in fiscal 2026, indicating a stable financial risk profile even as IndiGo continues adding aircraft to its fleet. The rating agency believes IndiGo’s strong liquidity, operational scale, and planned fleet expansion will help sustain growth and maintain a healthy credit profile in the coming years.
Disclaimer: This article is based solely on the credit rating rationale document related to InterGlobe Aviation Limited, issued by CRISIL and disclosed by the company. No external sources or additional reporting have been used, and the information reflects only what is stated in the referenced document.
