Company Information

• Date: October 30, 2024

• Subject: Transcript of earnings call for quarter and half year ended September 30, 2024

• Sent to: National Stock Exchange of India Limited and BSE Limited

• Prepared by: Neerja Sharma, Company Secretary and Chief Compliance Officer, InterGlobe Aviation Limited

  • Contact: corporate@goindigo.in

  • Registered Office: Upper Ground Floor, Thapar House, Janpath, New Delhi – 110 001, India

Conference Call Overview

• Event: IndiGo Second Quarter Fiscal Year 2025 Financial Results Conference Call

• Date of Call: October 25, 2024

• Participants:

  • Pieter Elbers – Chief Executive Officer

  • Gaurav Negi – Chief Financial Officer

  • Richa Chhabra – Director, Investor Relations

Key Highlights from Earnings Call

Financial Performance

• Total Income: 178 billion rupees (up 14.6% YoY)

• Net Loss: 10 billion rupees (compared to a profit of 1.9 billion last year)

• Capacity Growth: Approximately 8% amid operational challenges due to aircraft groundings.

• Factors Affecting Performance:

  • Seasonal trends affecting demand

  • Increase in fuel costs

  • Competitive intensity in both domestic and international markets

Strategic Initiatives

• New Offerings:

  • Launch of IndiGo Business Class on key routes starting in three weeks.

  • Introduction of a customer loyalty program named BluChip, allowing for the accumulation of points on flights.

• Digital Enhancements: Revamped website and mobile app for better user experience, including direct hotel bookings.

• Partnerships:

  • Collaboration with Amadeus for enhanced distribution strategy.

  • New initiatives in pilot training through partnerships with aviation academies.

Infrastructure and Operations

• Current Challenges:

  • Peak groundings in mid-seventies now moderating.

  • Major system outage on October 5 due to Navitaire update, were managed effectively with minimal disruptions.

  • Increased focus on operational improvements in response to past weather-related disruptions.

• Investment Plans: Continuing growth in capacity, with expectations of adding new international destinations and enhancing customer experience.

Financial Measures and Future Outlook

• Quarterly Performance Metrics:

  • Passenger unit revenue (PRASK): 3.76 rupees (up 2% YoY)

  • CASK ex fuel ex forex: 2.90 rupees (23% increase YoY due to various cost factors)

• Future Projections:

  • Expected passenger unit revenue moderation projected for the upcoming third quarter.

  • Continuation of investments in growth, people, and infrastructure without sacrificing customer promises.

• Long-term Vision: Commitment to becoming the leading carrier by 2030 focusing on domestic and international growth, customer loyalty, and operational efficiency.

Closing Remarks

• Pieter Elbers emphasized the challenges faced during the quarter were temporary and that IndiGo is committed to adapting to market conditions while maintaining strong customer service.

• Next Steps: The company remains focused on executing long-term strategies and building customer loyalty through introduced initiatives and operational enhancements.