IndiGo shares in the green despite losing market share in January; SpiceJet flies 5.5%

IndiGo operator Interglobe Aviation shares were in the green in the early trade on February 16 even after the airline lost a portion of its market share in January.

SpiceJet shares rose 5.5 percent, as the cash-strapped airline managed to hold on to its market share at 5.6 percent during the period.

Directorate General of Civil Aviation (DGCA) date showed that IndiGo, the airline with the largest market share, saw a slight dip at 60.2 percent in January from 61.8 percent in the previous month.

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IndiGo’s passenger load factor stood at 88.4 percent against 90.7 percent in December and SpiceJet’s at 93.7 percent against 93.5 percent.

At 9.20 am, IndiGo was trading at Rs 3052.5 on the BSE, up 0.77 percent, while SpiceJet stock was at Rs 67.1, up 5.5 percent from the previous session’s closing price.

The overall cancellation rate of domestic airlines for January was 3.67 percent.

IndiGo cancelled 5 percent of its flights, SpiceJet’s 3.48 percent, Air India 2.06 percent, while Vistara and Akasa Air recorded cancellation rates of 0.86 percent and 0.17 percent, respectively.

On February 15, sources told CNBC-TV18 that IndiGo was in talks with the government to reduce cancellations to and from the Mumbai airport. The airline was likely to cancel around six to 12 flights from the Mumbai airport, as per government directives.

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