Indigo, one of the biggest budget carriers in Asia, aims to run at full capacity in the domestic sector and with two-thirds capacity in the international sector by December 2021
The CEO of Indigo, Ronojoy Dutta, said that things were improving slowly, the current load factor for the airline is around 70% and he was bullish about his company in the coming months, with the traffic going up steadily.
He said that although the current cash levels were good, he wanted to raise funds to act as an insurance buffer in case the third wave of Covid-19 arrived.
A loss of 31.8 billion rupees in Quarter 1 was posted by InterGlobe Aviation Ltd., which operates Indigo. This was worse than a loss of 28.5 billion rupees a year earlier.
All employees of IndiGo had to compulsorily take leave-without-pay as passenger traffic decreased to almost zero when the deadly second Covid wave hit India between March and May.
With new predictions of a Covid wave peaking in October, air travel may suffer again. International flights were suspended by India until Sept. 30. The capacity on domestic flights was limited to 72.5% of pre-pandemic levels.