Jet Airways reported a loss due to weakening rupee and increase in fuel prices, Chairman Naresh Goyal said today.
Weak currency and rising ATF prices have taken a toll on the fiscal health of Jet Airways. The airline has reported a loss due to weakening rupee and increase in fuel prices, TV reports said today citing Jet Airways Chairman Naresh Goyal. Have a very strong code share network wDespite rising ATF prices, competition is increasing in the sector, Naresh Goyal said while Addressing company’s Annual General Meeting (AGM). Naresh Goyal also said that the airline has a very strong codeshare network with its partners all across the world. We are looking at cooperating with the national carrier in terms of engineering & flight operations and have had several meeting with Air India Chairman in this regard, he also said.
Meanwhile, the airline, that is scheduled to announce Q1 2018-19 results today, country’s second largest carrier posted a loss of Rs 1,040 crore in Q4 2017-18. In the corresponding quarter of last year, Rs 583 crore of profit was recorded by the airline. The airline posted an EBITDA of Rs 142 crore as against an EBITDA of Rs 934 crore in Q4FY17, which amounts to a whopping 85 percent plunge.
Earlier last week, there were reports in media that Jet Airways won’t be able to sustain for more than 60 days due to lack of finances and is looking to divest its stake to raise capital. The company refuted the claims thereafter. The company said that chairman Naresh Goyal and his family are not mulling over a plan to sell 20 percent stake out of total 51 percent via fresh issue and secondary sale. The reports country’s second largest airline will not be able to fly beyond 60 days unless cost-cutting measures are brought into the system are incorrect, Jet Airways spokesperson had then said.