 |
December 27, 2007 |
|
|
|
 |
SPICEJET LTD: Will Book Operating Profit This Quarter, CEO Says SpiceJet Ltd will declare some operating profit this quarter with the carrier's improving yields and higher ticket prices, SpiceJet Managing Director & CEO Siddhanta Sharma told CNBC-TV18 in an interview. As previously reported by the Troubled Company Reporter-Asia Pacific, the airline incurred an operating loss of INR337.3 million from revenues of INR2.7 billion in the three months ended Sept. 30, 2007. Net loss for that quarter was INR377.71 million. According to Mr. Sharma, prices and yields have firmed in the current quarter with the season's high demand. “[Y]ields have gone up. We are looking at an improvement of almost [INR]300- 350, as compared to the previous quarter. So, we currently stand at about [INR]3,100,” he told the TV station. Mr. Sharma believes that for the year, SpiceJet will be close to breakeven with “maybe USD$5-10 million loss here or there,” CNBC-TV18 report related. Gurgoan, India-based SpiceJet Limited -- http://www.spicejet.com/ -- is an airline carrier. In fiscal 2006, SpiceJet carried over 1.6 million passengers. As of May 31, 2006, the company operated over 60 daily flights covering 13 destinations, including eight Boeing 737-800 aircraft. SpiceJet has integrated with various travel related Websites, such as indiatimes, makemytrip, travelguru and cleartrip. The company has launched a co-branded credit card with State Bank of India in association with MasterCard. In fiscal 2006, SpiceJet entered into a sale and lease back agreement with Babcock & Brown Aircraft Management along with its partner Nomura Babcock & Brown Co. Ltd. covering 16 Boeing 737-800/-900ER aircraft. Spicejet incurred net losses for at least two consecutive years -- INR414.2 million in the year ended May 31, 2006, and INR287.05 million in the year ended May 31, 2005. The company changed its financial year from June-May to April-March. For the ten months ended March 31, 2007, the airline carrier booked a net loss of INR707.43 million. |
|
|
||
|
Today's Top Stories have been selected from the Troubled Company Reporter - Asia Pacific. To receive the Full TCR-AP please CLICK HERE.
