IndiGo’s parent company, InterGlobe Aviation, reported a 77.5% year-on-year (YoY) decline in profit at Rs 549 crore in the third quarter of FY26 (Q3FY26). The profit was hit by flight disruptions in December 2025 and the implementation of the new labour codes.
IndiGo Q3 hit by Rs 1,546.5 crore exceptional costs from labour codes, disruptions
In its Q3 earnings release, the company said it reported an impact of Rs 577.2 crore due to operational disruptions. The airline faced one of its worst flight disruptions, resulting in approximately 4,500 flight cancellations, triggered by stricter Flight Duty Time Limitation (FDTL) rules for pilots.
IndiGo also reported an impact of Rs 969.3 crore from the implementation of the new labour codes.
The airline has also faced Rs 22.2 crore penalty from the Directorate General of Civil Aviation (DGCA) imposed on January 17. “The DGCA has also directed the Company to furnish a bank guarantee of Rs 50 crore under the IndiGo Systemic Reform Assurance Scheme (‘ISRAS’). The release of bank guarantee is, inphased manner, subject to DGCA’s verification as prescribed under the scheme,” Indigo said in its Q3 release.
The exceptional items for the third quarter accumulated to Rs 1,546.5 crore.
IndiGo’s long-term fundamentals remain strong despite disruptions, says CEO
Pieter Elbers, CEO of Indigo said, “Despite these operational disruptions, IndiGo delivered a topline of around 245 billion rupees in the December quarter, reflecting a growth of around 7% with a reported profit of around 5 billion rupees and an underlying profit excluding exceptional items and forex of 31 billion rupees.”
“Our long-term fundamentals remain strong, backed by our expanding fleet, growing domestic and international network. As we look ahead, we remain committed to reliability, operational excellence and enhanced customer experience,” he added.
IndiGo’s revenue rises 6.1% as capacity expansion continues
In Q3FY26, the capacity increased by 11.2% to 45.4 billion. Looking ahead the company expects Q4FY26 capacity to grow at around 10% YoY
The company’s consolidated profit in Q3 FY25 was Rs 2,448 crore. In Q2FY26, Indigo had reported a loss of Rs 2,582 crore.
While the company reported a significant profit decline in the quarter, its revenue bounced back moderately, growing 6.1% YoY. Indigo’s parent company posted revenue from operations of Rs 23,471 crore in Q3 FY26.
InterGlobe Aviation’s revenue from operations was at Rs 22,110 crore in Q3 FY25 and Rs 18,555 crore in Q2 FY26.
In its Q3 press release, the company said the cancellation rate stood at 1.03% in October–November 2025 and that it recorded an on-time performance of 76.6%. The airline’s fleet stood at 440 aircraft, with a net addition of 23 passenger aircraft during the quarter. It is important to note that IndiGo has been asked to reduce its flight schedule by 10% until the end of March as it works to align its operations with new crew duty regulations and stabilise services after last year’s disruptions.