This airline stock lost over 5% in the market today as the company has to complete the payment of Rs. 100 crore to Kal Airways Private Limited and $1.5 million to Credit Suisse as per the supreme court order by the end of the day.
Share price of Spicejet opened at Rs. 41.50 per share and plunged 5%to reach its intra- day low of Rs. 36.38 per piece. The stock is trading at a discount of 29.63%.
As per the order of the Hon’ble Delhi High Court, SpiceJet, on 12 September 2023, has been ordered to make certain payments which included Rs. 100 crore to Kal Airways and $1.5 million to Credit Suisse, in addition to earlier payments of Rs. 77.5 crore and $8 million to Kal and Credit Suisse made by the company respectively.
Comparing its financials on a QoQ basis, it has made a revenue of Rs. 2003.59 crore in Q1FY24, a fall of 6.5% from Rs. 2145.07 crore in Q4FY23. Its net loss of Rs. 6.2 crore in Q4FY23 turned out to be a net profit of Rs. 197.65 crore in Q1FY24. Its net profit margin was 0.29% in Q4FY23 which increased to 9.86% in Q1FY24. The company has maintained a low debt to equity ratio of -0.25.
Spicejet is a low cost Indian airline is situated in Gurgaon, Haryana. It is renowned for being an affordable airline that serves faraway parts of the nation. The company was formerly called as Royal Airways, and it was later budgeted low in an effort to attract a new clientele and alter the company’s perception.
Written by Bhumika Khandelwal
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