IPO-bound Go Airlines’ 6-month loss trebles

Mumbai: IPO-bound Go Airlines posted a net loss of Rs 923 crore for the six months ended September. It was more than three times of Rs 299.5 crore a year earlier, according to an addendum to its initial IPO document filed with the markets regulator.

The company’s revenue rose to Rs 1,203 crore from Rs 585 crore a year earlier as the airline doubled its number of monthly flights year-on-year to 130 from 60. Expenses, however, soared. Fuel cost rose more than fourfold to Rs 443 crore. The low-fare carrier recently got an approval SEBI to go ahead with its listing.

Earnings before interest, taxes, depreciation, amortisation and rentals (EBITDAR) for July-September quarter shrank by a third to Rs 1,024 crore from Rs 3,270 crore.

Go Airlines has in the last year taken severe cost cutting measures which including cutting its staff strength by 1,000 to 4,400, having all lease rental payments deferred to the next three years and renegotiating contracts. Go has now 57 planes in its fleet and is operating 300 plus flights a day.