Zee Media Bureau
New Delhi: After a long spell of losses, national carrier Air India recorded a net profit of Rs 14.6 crore in December last, driven by a healthy growth in both passenger and cargo revenue.
Meanwhile, the airline on Monday reduced its fares by up to 50 percent for all its domestic flights, three days after Tata-Singapore Airlines joint venture Vistara commenced its flight services in the country.
The state-run airline has rolled out a limited period low fare offer, starting at Rs 1,557 across its domestic network which include metro cities such as Delhi and Mumbai.
The sale is on from January 12 to 18 for a travel period between January 16 and April 30.
The airline's total revenue rose by 6.5 percent to Rs 2070 crore during December 2014 as compared to Rs 1,944 crore in the same period of 2013, official sources said here.
"AI estimates passenger revenue of Rs 16,500 crore during the fiscal 2014-15 and a total revenue of nearly Rs 21,500 crore. Together with our subsidiaries, the consolidated revenue is expected to touch Rs 25,000 crore for this financial year," they said.
Air India's passenger revenue logged a 13.5 percent growth to Rs 1,563 crore in December last year as compared to Rs 1,377 crore in December 2013, resulting in the airline posting a profit of Rs 14.6 crore during the period as against a net loss of Rs 168.7 crore, sources said.
The Airline's revenue passengers increased by a healthy 17.5 percent to 1.61 million in the reporting period as compared to 1.37 million in December 2013, they said.
Besides, the seat factor also rose to 77.7 percent from 76.3 percent achieved in December 2013, the sources said, adding the domestic load factor stood at a record high of 86 percent.
According to the Sydney-based aviation think-tank Centre for Asia Pacific Aviation (CAPA) report published last June, the domestic airline industry is expected to post losses to the tune of Rs 7,807-8,408 crore in FY15 as against over Rs 10,000 crore in the previous fiscal.
The airline's cargo revenue during the reporting month increased to Rs 124 crore from Rs 115 crore a year-ago period, thereby registering a 7.5 per cent.
At the same time, the company reported EBITDA (earnings before interest, taxes, depreciation, and amortization) of Rs 484.2 crores during the period as compared to an EBITDA of Rs 308.9 crores.
The operating profit during December 2014 stood at Rs 183 crore as compared to only Rs 2 crore in December 2013, they said adding the aircraft utlisation daring the period was quite higher during the reporting period.
With PTI Inputs
