Indigo Posts Rs 2,536.9 Crore Loss In March Quarter Of FY26 Amid Cost Pressures

India’s largest airline IndiGo slipped into a net loss of Rs 2,536.9 crore in the March quarter of FY26, a sharp reversal from a profit of Rs 3,067.5 crore in the same quarter last year, as rupee depreciation, regulatory changes and operational pressures weighed heavily on earnings.

The airline’s total income rose over 3 per cent to Rs 23,830.7 crore , compared with Rs 23,097.5 crore a year ago. Revenue from operations stood at Rs 22,438.4 crore , showing that demand remained steady, but the gains were not enough to absorb higher costs and external shocks.

The company said the quarter was impacted by an “exceptionally sharp” depreciation of the rupee, changes in labour laws and a difficult operating environment. Excluding the impact of foreign exchange and exceptional items, IndiGo would have reported a quarterly profit of Rs 1,920.6 crore .

For the full financial year FY26, the carrier posted a net loss of Rs 2,393.6 crore . However, excluding foreign exchange impact and exceptional items, it would have reported a profit of Rs 7,502.5 crore , underlining the relative strength of its core operations despite headline losses.

Rahul Bhatia , Managing Director of IndiGo, said FY26 was marked by an “exceptionally challenging operating environment” that materially affected profitability. He said the airline’s capacity grew by 9.5 per cent , while total income increased by over 6 per cent during the year.

Despite the weak bottom line, IndiGo retained its dominant position in India’s aviation market. Its domestic market share stood at 63.3 per cent in March , keeping it well ahead of rivals.

The results disappointed investors, with IndiGo shares falling 3.27 per cent to close at Rs 4,418.40 on the BSE.

The latest numbers show that while passenger demand and market leadership remain strong, currency volatility, regulatory costs and operational headwinds continue to pose serious challenges to the airline’s profitability.