The budget carrier reported a widening of its losses in the fourth quarter of the previous fiscal, despite the gains of InterGlobe Aviation IndiGo by nearly 10 per cent. InterGlobe Aviation's stock was up 9.93 percent to Rs 1808.50 against the previous close of Rs 1645.05 on the BSE.
A total of 0.31 lakh shares of the firm changed hands for a turnover of Rs 5.47 crore. Interglobe Aviation stock is trading lower than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
The stock gained 1.07 per cent in a single year, but lost 13.57 per cent since the beginning of the year. The firm's market cap rose to 67,421 crore.
The aviation stock hit a 52 week high of Rs 2,379 on November 16, 2021, and a 52 week low of Rs 1,556 on March 8, 2021. The domestic budget carrier reported a consolidated net loss of 1,681 crore in Q 4 due to higher fuel costs against a net loss of 1,159 crore in the year-ago period.
The airline saw an increase in passenger numbers by 10.3 per cent compared to the same period last year.
Revenue from operations rose 28.8 per cent to Rs 8,020. In Q 4 there was 74 crore from Rs 6,222. There was 94 crore in the same quarter last fiscal, based on strong traffic rebound in the latter half of the quarter.
Motilal Oswal said that Free cash for the company increased to 77.60 crore in 4QFY 22 from INR 7090 crore in 4QFY 21. The cash position is comfortable for the company.
INDIGO will be stronger than before with various preemptive measures already taken out of the woods despite the near-term challenges. The resurgence of airlines Air India, Spicejet and upcoming Akasa along with established Jet Airways would reduce Indigo's market share going forward. We value the stock at 7 x FY 24 EEV EBITDAR in order to reach our target price of Rs 1,779 plus 8 percent Maintain Neutral owing to the limited upside of 8% from the current level. The country's largest airline posted a profit of 129.8 crore for the quarter ended December 2021 in Q 3 of last fiscal year. The airline had a loss of Rs 620.1 crore in the year-ago period.
Revenue from operations climbed to 9,294. In Q3 there was 8 crore more than in Q 3 compared to Rs 4,910 crore a year ago.
The total income rose by 84.3 per cent to Rs 9,480 on an annual basis. In the third quarter of the current fiscal year, there was 1 crore.