Share price of India’s most preferred low-cost airline moved up by nearly 4.68 percent to Rs. 67.30 in the morning trading session of Tuesday after an announcement on the stock exchanges.
With a market cap of Rs. 4,492 crore, shares of SpiceJet Ltd. opened at Rs. 64.75 on January 30 from its previous close of Rs. 64.29. The company has delivered a positive return of more than 126.66 percent in the last six months compared to more than 89.4 in the last one year. So far in 2024, it has given around 7.8 percent returns.
According to the data available on the stock exchanges, the National Company Law Tribunal (NCLT) has dismissed the insolvency petition filed against SpiceJet Ltd. by aircraft lessor Wilmington Trust SP Services.
In May last year, the DGCA (Directorate General of Civil Aviation) deregistered SpiceJet’s three Boeing 737-800s planes at the request of the aircraft lessor, out of which, one of the three aircraft belonged to Wilmington.
In June 2023, Wilmington Trust SP Services moved an insolvency appeal against SpiceJet over unpaid dues. However, finally, on January 29 this year, NCLT dismissed the insolvency plea against the company.
In terms of financials, the company’s revenue from operations decreased by 28.69 percent from Rs. 2,004 crore in the September 2023 quarter to Rs. 1,429 crore in the December 2023 quarter, accompanied by a fall in net profit in the September 2023 quarter to Rs. 449 crore from Rs. 198 crore in the June 2023 quarter.
As of December 2023, FIIs hold 0.33 percent of the shares, whereas DIIs hold 0.04 percent of the shares in the company, aggregating to 0.37 percent of the institutional holdings. The Promoters’ holding decreased by 2.21 percent to 55.28 percent in the December 2023 quarter from 56.53 percent in the September 2023 quarter.
Incorporated in 1984, SpiceJet Ltd. is engaged in the business of providing air transport services for the carriage of passengers and cargo.
It is the largest regional player in India operating multiple daily flights under UDAN or the Regional Connectivity Scheme.
Written by Shivani Singh
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