ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Railways
  • World
    • Economy
    • Politics
    • Markets
  • Survey
  • videos
  • photos
  • More ...
    • VIDEOS
    • PHOTOS
BREAKING NEWS
  • Foreign portfolio investors' exodus continues for 9th month; withdraw Rs 50,203 cr from equity market in June - know reasons
  • Windfall tax to recoup most of Rs 1 lakh cr revenue lost in excise cuts, industry sources say
  • D-Mart Q1 revenue jumps almost 2-fold to Rs 9,806.89 cr
  • This Android malware switches off Wi-Fi and drain mobile wallet
  • North Korea says US, South Korea-Japan agreement materialises US plan for 'Asian NATO'
Read in App
Business News » India News

Air passenger growth: Domestic aviation industry witnesses 3.3% expansion in May, reports ICRA

ICRA report said the growth comes after the aviation industry reported a 4.4 per cent "de-growth" in traffic in April. 

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Air passenger growth: Domestic aviation industry witnesses 3.3% expansion in May, reports ICRA
Indigo and SpiceJet, which together accounted for 62 per cent of the domestic airline industry capacity during April 2019, have added 15 and 25 aircraft. Representational Image, source: Reuters

Air passenger traffic in India`s domestic aviation industry has rebounded in May with a year-on-year growth of 3.3 per cent, said an ICRA report, adding that the rise comes after the industry reported a 4.4 per cent "de-growth" in traffic in April. The highlights of ICRA observation on air passenger traffic is given below: 

1. The ICRA report said, "This is primarily attributable to the gradual increase in capacity as airlines like SpiceJet started redeploying some of the grounded aircraft of Jet Airways. This has, in turn, resulted in some moderation in the airfares during April 2019 and May 2019. For April-May FY2020, the domestic passenger traffic growth had reported a Y-o-Y de-growth of 0.5 per cent." 

2. Indigo and SpiceJet, which together accounted for 62 per cent of the domestic airline industry capacity during April 2019, have added 15 and 25 aircraft, respectively, during April and May 2019, increasing seven per cent and 33 per cent, respectively, over their March 2019 fleet, according to the report.

3. Kinjal Shah, Vice President and Co-Head, Corporate Sector Ratings, ICRA, said: "While Indigo has announced 30 per cent increase in its capacity in FY2020 (approximately half of which will be for domestic operations), SpiceJet has announced an increase of 80 per cent. As the airlines continue to expand their fleet, resulting in a gradual correction in the demand-supply imbalance and thus a further moderation in airfares, the domestic passenger traffic growth is expected to continue to increase."

4. In May 2019, all airlines reported a month-on-month improvement in their passenger load factors (PLFs), while on a year-on-year basis, only Air India and GoAir reported an improvement in their PLFs. 

5. According to Kinjal Shah, with capacity expansion planned by various airlines, the airline industry is likely to start facing pressure on yields and thus profitability.

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
Aviationaviation industry
Written By: ZeeBiz WebTeam
Updated: Sat, Jun 22, 2019
05:03 pm
New Delhi, ZeeBiz WebDesk
RELATED NEWS
EXCLUSIVE: 'Noida International Airport at Jewar to be jewel in crown of Indian aviation sector' - Know what all is coming up at this Digital Greenfield Airport EXCLUSIVE: 'Noida International Airport at Jewar to be jewel in crown of Indian aviation sector' - Know what all is coming up at this Digital Greenfield Airport
Noida International Airport selects ICAD Holding as Master System Integrator consultant Noida International Airport selects ICAD Holding as Master System Integrator consultant
Akasa Air Latest News: 1st time in eight years this is happening in Indian skies Akasa Air Latest News: 1st time in eight years this is happening in Indian skies
Make airports monsoon ready, DGCA to airport authorities Make airports monsoon ready, DGCA to airport authorities
India’s greenest fleet! Akasa Air takes delivery of the first of its 72 Boeing 737MAX aircraft - See pic India’s greenest fleet! Akasa Air takes delivery of the first of its 72 Boeing 737MAX aircraft - See pic

LATEST NEWS

Windfall tax to recoup most of Rs 1 lakh cr revenue lost in excise cuts, industry sources say

Tracxn in wait-and-watch mode over timing of proposed public offer amid choppy market

This Android malware switches off Wi-Fi and drain mobile wallet

Three of top 10 BSE-listed companies lose Rs 73,630 cr in market capitalisation; HUL, ICICI Bank among biggest drag

Maruti Suzuki looks to deploy strong hybrid tech across model range

North Korea says US, South Korea-Japan agreement materialises US plan for 'Asian NATO'

Rakesh Jhunjhunwala Stocks: Agrochemical firm Rallis India shares may surge by 23% despite pressure on margins – Here’s why?

Electricity distribution companies' outstanding dues to power producers rise 4% to Rs 1.32 lakh cr in June - know details here

Foreign portfolio investors' exodus continues for 9th month; withdraw Rs 50,203 cr from equity market in June - know reasons here

D-Mart Q1 revenue jumps almost 2-fold to Rs 9,806.89 cr

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
© 2022. India Dot Com Private Limited. All Rights Reserved.
LIVE TV