Jet Airways reports 60 per cent drop in Q4 net profit

26 June 2007

However, for the airline it was also a net profit for the second quarter in a row, mainly on improved load factors and higher international earnings.

Its board also approved a $400 million rights issue to fund expansion and overhaul of Air Sahara, which it bought in April.

Jet, which commands a little over a third of the fast-growing domestic market, said net profit for the January-March fiscal fourth-quarter was Rs88 crore ($21.5 million) on net sales of Rs1,978 crore ($484.1 million).

Jet returned to profit in its fiscal third quarter after losses in two previous quarters mainly because of high fuel costs and growing competition in the domestic market.

Jet Airways also said its full-year net profit was Rs27.94 crore ($6.83 million).

Air Sahara is now named JetLite, and has been positioned as a discount carrier. The two have a combined fleet of 87 aircraft.