InterGlobe Aviation shares soar over 8 pc

Shares of InterGlobe Aviation rallied over 8 per cent on Wednesday amid positive sentiments about the future trajectory of the company. The company on Tuesday reported a net loss of Rs 870.8 crore in the three months ended March, due to higher expenses and suspension of flight operations due to coronavirus pandemic took a toll.

Asserting that the company has a healthy balance sheet, energised workforce, efficient fleet, strong cost position and firm market position in India and in neighbouring countries, IndiGo CEO Ronojoy Dutta said the firm is determined to emerge stronger from this crisis. Bucking the weak March quarter earnings, the company's stock zoomed 8.46 per cent to close at Rs 1,025.55 on the BSE. During the day, it had jumped 12.62 per cent to Rs 1,064.95.

It rallied 7.84 per cent to close at Rs 1,019.70 on the NSE. In traded volume terms, 5.75 lakh shares of the company were traded on the BSE and 1.20 crore shares on the NSE during the day. The parent of the country's largest airline IndiGo had a profit after tax of Rs 595.8 crore in the year-ago period.

"Closure of flight operations during national lockdown on account of COVID-19 significantly impacted revenue for the quarter," it said in a regulatory filing. Domestic flight services remained suspended for two months from March 25 when the lockdown was imposed to curb spreading of coronavirus infections. While domestic flights resumed operations on May 25, overseas flights are yet to recommence services.