NEW DELHI: Shares of Jet Airways slipped over 3 per cent early Tuesday after the aviation company reported a whopping Rs 1,323 crore net loss for the three months to June.
However, the share recouped losses to gain a per cent.
The scrip was trading at 284.70 apiece, up 0.87 per cent.The loss is mainly due to higher fuel cost and other expenses caused by a falling rupee.The ongoing cash crunch has forced the airline to embark on a Rs 2,000-crore cost cutting drive and stake sale in its loyalty programme -- Jet Privilege -- as part of capital infusion.The airline, which publicly admitted to cash flow issues, had posted a net profit of Rs 53.50 crore in the year-ago period.Brokerage firm SBICAP maintained Hold on Jet Airways with a target price of Rs 335.
Pressure on yields and PLFs (passenger load factor) resulted in lower unit revenue.
Adjusting for forex loss, Jet reported break-even at EBITDAR (earnings before interest tax depreciation and rentals), but suffered cash losses, it said.