Low Cost Jet AirwaysCheap Jet Airways
JetLite's quarterly return increased by an astonishing 54% to 5.10 year-on-year, compared to Jet Airways India's 34% increase to 6.5 year-on-year. In the low-cost carriers sector, the sharp rise in returns reflected the growing desire of travelers to travel at low cost. As a result, the company's net revenue increased by 25.8% to reach 4,190 crore crowns in the third quarter.
This revenue increase was achieved despite the stagnation in the number of passengers over the past nine month. On a year-on-year comparison, the company's return on equity rose by 29% to 4.7. In addition, the company's decisions to reduce losses, sell and return planes, and concentrate on incidental revenue helped improve operating performances in the third quarter. However, the company's operating result was also impacted by the decline in the number of employees.
EBIDTAR - a measure of how well the carrier has been managing its operation - on a fully-fledged basis has jumped almost 250% year-on-year to reach 651krore. In order to further lower costs, the Group is planning to further decrease its total vehicle population from 120 to 114 by the end of fiscal year 13.
Revenues will remain positive, as will the high frequency phase in the December third of the year and heavy cross border trade.