Jet Airways posts INR 85 cr /US$ 13m/ profit in Q2 of FY17

Jet Airways Group today announced a profitable quarter with a profit of INR 85 cr (US$ 13m) for the period ending September 30, 2016 despite a traditionally ‘lean’ quarter and domestic yields being under pressure.

Jet Group's total revenue for the second quarter FY17 increased by 3.2 percent to INR 5,682 cr (US$ 850m) from INR 5,504 cr (US$ 842m). Passenger revenues for Q2 FY17 rose by 2.2 per cent to INR 4,785 cr (US$ 716m) from INR 4,682 cr (US$ 716m).

Jet Airways continued to grow its capacity, network connectivity and guest experience by deploying its wide-body aircraft on key international and domestic routes during the quarter which helped it augment capacity to carry 6.77 million passengers. Wide-body B777s were deployed between Mumbai, Dubai and Singapore, enabling the airline to carry a higher number of passengers.

Enhanced synergies with partner carriers and improved operational performance also helped drive traffic and loads. The airline’s presence in both domestic and international sectors and its fleet mix enabled it to manage the cyclical nature of its business successfully.

Naresh Goyal, Chairman, Jet Airways said, "Improvements in operational performance have helped Jet Airways participate in the strong growth being witnessed in the Indian aviation market.

"Our guests form the core of our business and we continue to evolve to offer them an enhanced experience and additional choices for travel. That includes providing seamless global and domestic connectivity as well as freedom and flexibility to plan their travel via our unique ‘Fare Choices’ initiative. We have also ensured that our fleet deployment and our alliances and codeshare relationships are aligned to enrich the experience of guests."

James Hogan, Vice Chairman, Jet Airways and President and Chief Executive Officer, Etihad Aviation Group, said, "Our continued collaboration has supported ongoing improvement in Jet Airways performance, despite the ongoing pressure on yields. We have made robust progress in our common aim to leverage mutual synergies to enhance the value for our guests and the business.

"Growth in passenger numbers and aircraft utilisation contributed significantly to our performance during the second quarter, together with maintaining a broadly flat non-fuel cost, despite inflation," he added.

With its focus on growing the contribution from ancillary revenues, Jet Airways also rolled out several innovative and guest-friendly initiatives in the form of 'Priority Advantage' for Economy guests as well as a refreshed and updated 'Seat Select' feature. It also launched JetScreen – a next-generation in-flight entertainment system with wireless streaming service - during the quarter.

These initiatives have helped Jet Airways strengthen its value proposition, providing it with a significant competitive edge, as it continues to adopt and introduce ahead-of-the-curve technology to enhance guest satisfaction, driving operational efficiency.

The quarter also witnessed a growth of 15 per cent in overall codeshare traffic, including a growth of 32 per cent between Etihad Airways and its partner airlines. Jet Airways, together with Etihad Airways now offer more flights to and from India, than any other airline.

The greater connectivity and choice provided by Jet Airways to guests continued to deliver increased codeshare numbers not only with strategic partner Etihad Airways and other Etihad Airways Partners, but also on an overall basis.

Jet Airways announced an enhancement of its global connectivity to North America and Europe over Paris with a new flight schedule that expanded its codeshare partnership with Air France and Delta Air Lines. It offers guests easy connectivity to 25 European and more than 10 North American cities. The airline intends to strongly leverage its relationship with partners to further enhance its global appeal and share of this market.