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SpiceJet announces US$31.5 million quarterly loss
July 2nd 2021
SpiceJet has reported a 2.4 billion rupees (US$31.5 million) net loss for the three months to March 31, 2021, an improvement over a net loss of 8.1 billion rupees in the previous corresponding period. Read More » Revenue was 34.5% lower, at 18.8 billion rupees, SpiceJet said. “The intensity with which the second wave of COVID-19 struck and the unimaginable devastation it has caused, both for the already battered travel industry and generally, will take time to heal," SpiceJet chairman and managing director, Ajay Singh, said. In response to market conditions, SpiceJet plans to raise 25 billion rupees in fresh capital to strengthen its balance sheet and ensure long-term sustainable operations. Singh said SpiceJet's cargo arm, which is performing well, is to be spun off from the airline’s mainline business. "To provide greater focus on the cargo business and raise additional capital, we will hive off the cargo business and operate it as a separate entity," Singh said, and added the shift in strategy would provide more long-term opportunities for its air freight business.
