Q3 may see SpiceJet break even

05 Jan 2008

Mumbai: Budget carrier, SpiceJet, hopes to break even operationally in the current fiscal and post a profit, with a turnover of Rs1,300 crore, according to the airline's chairman and CEO Siddhant Sharma. 
 
SpiceJet expects to fly 1.3 million passengers in the current financial and generate revenues of Rs375 crore. Load factor is expected to move up from 64 per cent (June-August 2007) to 78 per cent for the third quarter (September-December 2007).

The only cloud on the horizon is the price of fuel, with ATF prices seesawing between 10-14 per cent. The carrier has advance bookings on seats at old rates that cannot factor in price fluctuations of ATF.
 
According to reports, the airline has been able to generate revenues of Rs7 crore from sale and leaseback of the aircraft over and above the base in the third quarter.