NEW DELHI: Budget airline IndiGo posted slower first-quarter revenue growth on Wednesday, weighed down by subdued demand following border tensions between India and Pakistan and a fatal Air India crash during the quarter.
India’s largest carrier by market share reported a 4.7% rise in revenue to 204.96 billion rupees ($2.34 billion) in the April-June quarter, a sharp slowdown from the 17.3% growth logged a year ago.
“The June quarter was shaped by significant external challenges that created headwinds for the entire aviation sector,” Chief Executive Pieter Elbers said in a statement.
An April attack on civilians in Indian Kashmir, followed by border clashes between India and Pakistan led to “hundreds and hundreds of cancelations,” Elbers said in a post-earnings media call.
India has blamed Islamabad for the attack, which the latter has denied.
