IndiGo made history this week by briefly overtaking major global airlines like Delta Air Lines and Ryanair to become the world’s most valuable airline by market capitalization.
The airline’s stock has surged this year, gaining 13% so far, pushing its market value to over ₹2 lakh crore (around $23.3 billion). Also, IndiGo’s stock rose nearly 1%, standing out despite a weak broader market trend.
This achievement is significant, especially given that the Nifty 50 index has fallen nearly 6% year-to-date, due to concerns over global trade tensions, an earnings slowdown, and high valuations, as per Bloomberg data. IndiGo has a dominant presence in India’s domestic aviation market, holding more than 60% of the market share.
IndiGo is also focusing on expanding its international operations. The airline aims for its international business to account for 40% of its available seat kilometers (ASK) by FY30, up from an estimated 28% in FY25. To support this growth, IndiGo plans to add 50 new aircraft in FY26 to its existing fleet of 439 planes, although 50 of these are currently grounded. The airline also expects strong double-digit growth in ASK for the next fiscal year.
IndiGo’s Q3 Results: Profit Declines Amid Strong Demand
IndiGo’s parent company, InterGlobe Aviation Ltd, reported a net profit of ₹2,449 crore for Q3 FY25, a decline of 18% compared to ₹2,998 crore in the same quarter last year. This drop was primarily due to the absence of the festive season, which occurred in Q3 of 2023 but not in 2024.
Despite the decline in profit, air travel demand remained robust. InterGlobe Aviation’s revenue for the quarter rose by 14% year-on-year, reaching ₹22,111 crore, up from ₹19,452 crore in the same period last year. This growth was driven by a 12% increase in available seat kilometers (ASK) and a 13.5% rise in revenue passenger kilometers (RPK). The load factor also improved by 1.2 percentage points, reaching 86.9%.
With its strong position in the market and focus on growth, IndiGo continues to set its sights on further expanding both domestically and internationally.
