SpiceJet down nearly 15% due to big quarterly loss
Bengaluru:
Shares of India’s SpiceJet Ltd fell up to 14.7 per cent on Thursday as the low-cost carrier posted major losses due to higher fuel costs and unfavorable foreign exchange rates, and said its chief financial officer had resigned.
SpiceJet on Wednesday said Chief Financial Officer Sanjeev Taneja had resigned amid widespread losses and a series of mid-air incidents.
The budget airline announced that its net loss widened to ₹789 crore for the three months ending June, mainly on account of higher fuel prices and depreciation of the rupee.
This as compared to a net loss of ₹458 crore in the quarter ended March 2022, which the company had delayed due to a cyber security attack.
It had a net loss of ₹235.3 crore in the year-ago period.
SpiceJet said it will raise funds up to $200 million. Some banks have raised concerns about loans to carriers.
More recently, the cash-strapped airline has struggled to make timely payments to vendors and lessors, leading some to deregister planes.
Separately, SpiceJet employees on Wednesday alleged Delay in salary distribution for the second consecutive monthThe budget airline said payments were being made in a “graded format”.