Jet Airways has reported a net loss of Rs. 1262 crores in its second quarter results of the financial year 2019. The airline blames harsh operating environment of the industry for its failure.
However, in a few areas the carrier has reported certain improvements. When compared to the second quarter results of the financial year 2018, the airline has reported a 2.5% increase o average load factor, resulting in 84%. It has also reported ancillary revenue growth by 10%, and cargo revenue growth by 13.7% when compared to the previous year.
In the first half of 2019, Jet Airways has reduced the operating costs and has yielded over INR 500 crores of savings.
We have reviewed our network and are deploying aircraft on more profitable, productive and economically efficient routes. With the peak season upon us, I am optimistic about our ability to build and accelerate revenue momentum even as we continue to review and improve our network, says Vinay Dube, Chief Executive Officer, Jet Airways.
In this fiscal, Jet Airways intends to add six new Boeing 737 MAX aircraft to its portfolio. Regarding services, Jet Airways has launched Mumbai – Manchester non-stop flight. It will also soon start direct service from Pune to Singapore.
The airline promises that it is also targeting to launch new services on routes such as Bangkok, Doha, Dammam, Dubai, Kathmandu and Singapore.
We are in active discussions with various investors to secure sustainable financing to navigate through the current headwinds and create long-term growth. There is interest in our strong brand and confidence in our business turnaround efforts, added Dube in a statement released to media.
Jet Airways reportedly has liabilities including long- and short-term borrowings, trade payables and other financial obligations.
Ria is a lead news writer at Aviation Scoop. She writes from dawn to dusk, reads in the evenings, and draws at some ungodly hours. She loathes human interaction, and finds solace in the sweet, musky smell of old books, and rain. Find her on Twitter here - @rialakshman.