BENGALURU, Feb 24 (Reuters) – India’s SpiceJet Ltd ( SPJT.NS ) reported higher third-quarter revenue on Friday as the embattled low-cost carrier benefited from increased demand for air travel, leading shares up almost 12%.
The airline said its profit rose to 1.07 billion rupees ($12.93 million) for the three months ended Dec. 31, from 232.8 million rupees in the year-ago quarter, which was impacted by a one-off expense related to with an agreement with an aircraft manufacturer.
SpiceJet’s total revenue from operations rose 2.5% to 23.15 billion rupees.
“Despite a large increase in passenger traffic, the business continued to be affected by high fuel prices and the depreciation of the rupee,” the company said in a statement.
The profit was driven by a strong performance in both the passenger and cargo businesses, the company said.
“There are renewed signs of recovery and some very positive developments and restructuring initiatives ahead that would significantly strengthen and dismantle our balance sheet,” said Ajay Singh, chairman and managing director.
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($1 = 82.7550 Indian Rupees)
Reporting by Nallur Sethuraman in Bengaluru; Editing by Sohini Goswami
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