India's largest airline, IndiGo, reported a consolidated net loss of Rs 2,536.9 crore for the March quarter, compared with a profit of Rs 3,067.5 crore in the same period last year. The sharp depreciation of the rupee and a challenging operating environment weighed heavily on the carrier's performance, according to a PTI report.
The airline's total income rose more than 3 per cent to Rs 23,830.7 crore in the fourth quarter of FY26, up from Rs 23,097.5 crore in the corresponding period of the previous year. In a release, IndiGo stated that for the quarter ended March 2026, it reported a net loss of INR 25,369 million. However, excluding the impact of foreign exchange and exceptional items, the company posted a net profit of Rs 19,206 million.
For the full financial year 2025-26, IndiGo recorded a net loss of Rs 2,393.6 crore. But when excluding foreign exchange movements and exceptional items, the carrier said it would have reported a profit of Rs 7,502.5 crore. Despite the losses, IndiGo expanded its capacity by 9.5 per cent during FY26 and saw a 6.4 per cent rise in total income to Rs 89,513.4 crore.
The airline attributed the losses to an exceptionally sharp rupee depreciation, changes in labour laws, and a challenging operating environment. According to its financial statements, IndiGo incurred a foreign exchange loss of approximately Rs 8,100 crore during FY26. Additionally, the impact of flight disruptions in December stood at Rs 580 crore, while expenses related to the implementation of new labour laws were Rs 1,200 crore.
IndiGo Managing Director Rahul Bhatia commented that FY26 was marked by an exceptionally challenging operating environment that materially affected profitability. He noted that during the year, capacity grew by 9.5 per cent and total income increased by over 6 per cent. Excluding foreign exchange and exceptional items, IndiGo delivered a profit of Rs 75 billion.
The airline faced significant operational disruptions in the last financial year, particularly between December 3 and 5, when 2,507 flights were cancelled and 1,852 flights were delayed, affecting more than three lakh passengers across the country. IndiGo expects capacity, measured in Available Seat Kilometres (ASKs), to grow by around 3-4 per cent in the June quarter compared with the first quarter of FY26.
IndiGo also underwent leadership changes during the year. CEO Pieter Elbers stepped down in March, and later the carrier announced the appointment of William Walsh, a pilot and current chief of global airline body IATA, as its next CEO. IndiGo's domestic market share stood at 63.3 per cent in March. Shares of IndiGo fell 3.27 per cent to close at Rs 4,418.40 on the BSE.
