Budget carrier Spice Jet on Saturday announced flight operations to Chennai and Hyderabad starting from November 14, extending the six-month old airline's connectivity to 11 Indian cities.
Rising crude oil prices and muted passenger traffic in the July-September quarter (second quarter, or Q2) of 2023-24 (FY24) have raised concerns about the profitability of listed aviation players. These two concerns have caused the stock of InterGlobe Aviation (IndiGo), the largest player in the sector, to slip by 11 per cent since its highs at the end of July. Nuvama Research expects yields to cool down in the near term due to seasonality, rising crude oil prices, and higher capacity.
Fares would vary according to sector.
In a bid to cash in on upcoming summer holiday season, low-cost carriers SpiceJet and IndiGo on Tuesday launched the fourth round of price war in the bleeding aviation sector, offering massive discounts on tickets.
SpiceJet also plans to increase its daily flights to 251.
We are only 9-10 months into the turnaround exercise: Maran
No-frills airline SpiceJet on Wednesday launched yet another round of limited-period low fare offers to fill its seats for travel between July and September when air travel generally slumps.
The move comes within days of Indian Railways announcing an increase in fares from January 21.
Spicejet has consolidated its base fare by including fuel surcharge in it.
The civil aviation ministry appears supportive of SpiceJet because it does not want another airline to fail. The real test now will be the capacity of the airline's chairman, Kalanithi Maran, to raise funds. And he needs to do this quickly.
To turnaround, the airline bets on heavily-discounted tickets and new overseas routes.
Approval was held up due to CBI investigation into international flying permit of Tata group-owned AirAsia India.
In 2017 only the Jeju-Seoul Gimpo route (with over 64,991 flights) and Melbourne-Sydney (54,519 departures and arrivals) were busier than Mumbai-Delhi.
The airline has already commenced the sale of tickets for the new destination, which will be the ninth international sector to be served by carrier, SpiceJet said.
The state-run carrier will shortly invite bids to replace its fleet of 11 ATR-42s and Bombardier CRJ planes with newer fuel-efficient turbo prop planes to improve its operating result.
SpiceJet has reported profit in Q1, it is trying its best to improve efficiencies in FY16.
It is imperative that the government first decides who should assume ownership of running Air India.
Owing to another rise in jet fuel prices this month, airlines, such as Spice Jet, have decided to hike the fuel surcharge levied by them on tickets by Rs 150 for short haul sectors (less than 750 kms) and by Rs 350 for long haul sectors (more than 750 kms).The fuel surcharge for short haul routes now stands at Rs 1,950 while for long haul sectors it is Rs 2,350.
No-frills carrier SpiceJet is in active discussions with Singapore-based budget carrier Tigerair for a possible stake sale even as they are set to sign a code share agreement soon.
Shares of SpiceJet surged over 17 per cent on Monday after ace investor Rakesh Jhunjhunwala's Rare Enterprises picked up 75 lakh shares of the company for more than Rs 13 crore (Rs 130 million) through open market.
Teenaged Indian Grandmaster D Gukesh shot into sole lead after defeating Firouzja Alireza of France in the 13th and penultimate round of Candidates' Chess tournament in Toronto on Saturday, his quest for the extraordinary placing him on the cusp of becoming the youngest ever World Championship contender.
Competition promotes innovation in the business model, creating sustainable value.
According to sector estimates, it takes at least six months to develop a route.
Fuel costs, interest and lease rentals increased but an increase in other income (Rs 11 crore) and non-operating income (Rs 28 crore) helped the airline to boost revenue and contain losses.
No-frills carrier SpiceJet is in active discussions with Singapore-based budget carrier Tigerair for a possible stake sale even as they are set to sign a code share agreement soon, sources said.
If all 102 grounded planes could fly, there will theoretically be 400 more Delhi-Mumbai flights every day.
With a contrarian approach to the Indian market, Mills has reconfigured SpiceJet and eked out its first profit in five quarters. His plan is not without risks.
Ajay Singh is trying hard to turnaround SpiceJet.
Despite a bleak operating environment, Jet Airways and SpiceJet have flown into the black. The turnaround may have more to do with their embattled rivals than anything else.
Ministry sources say investors are looking at pumping in around Rs 1,100 crore
The aviation authority is concerned about financial health of Air India, Spicejet and Jet Airways.
Sanjiv Kapoor questions the rival's change in strategy and claims of full load.
At the height of its troubles and desperate to mop up cash to fly the next day, SpiceJet was offering ridiculously high deposit incentives to travel agents and online portals -- incentives it could ill afford.
Under new Chairman Ajay Singh, the airline has cut routes - its capacity is down a third since last year - and costs.
Budget carrier SpiceJet on Friday triggered off a price war in the aviation industry announcing one-way discounted fares starting Rs 1,999 for travel between September and December this year, prompting IndiGo to follow with a similar offer soon after.
The airline reported a loss of over Rs 1,000 crore last fiscal which is five times higher than its 2013 loss.
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SpiceJet's ex promoter Ajay Singh is trying hard to pump in huge money into the airline.
We have cleared all dues to our employees, says Ajay Singh
As per the current policy, 100 per cent foreign investment is allowed in scheduled air transport service, domestic scheduled passenger airlines and regional air transport
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