CAPA: Combined profit of $350-400mn for Indian carriers this fiscal
07 Apr 2011
Though the outlook for India's private airlines is rosy, with likely combined profits in the region of $350-400 million in the fiscal year beginning 1 April, the same is not true for state-owned Air India, which is likely to post a loss of $1-1.25 billion, according to consulting firm Centre for Asia Pacific Aviation (Capa).
Capa's projections are part of its 2011-12 outlook for the Indian aviation industry, which it released on Monday.
Last year, Capa projected a profit of $250-300 million for private carriers in the financial year ended 31 March, and a loss of $650-700 million for debt-laden Air India.
Amongst other matters, Capa says Indian carriers are likely to place orders for 200 new aircraft this fiscal, with a list price of $11-12 billion. These will include 125-150 narrow-bodied planes, 30-50 smaller planes and 10-15 wide-bodied planes for long-haul international flights.
These acquisitions will be in addition to the massive order placed in January this year for 180 narrow-bodied planes by IndiGo. The order is worth $15 billion at list prices.
Capa also said two budget carriers were likely to launch initial public offerings (IPOs) in the fiscal year. It, however, did not name these carriers.
