Indigo is the World’s 4th-largest airline in the world in terms of market capitalisation, behind Delta Air Lines, Ryanair, and United Airlines. With a current market capitalisation of Rs. 2,03,943, the stock of InterGlobe Aviation has given a return of 22 percent in the past one year, and the past 5-year return stands at an impressive 413 percent.
Promoter Shareholding
Since February 2022, Mr. Rakesh Gangwal and his wife, Mrs. Shobha Gangwal, have been reducing their stake in IndiGo as part of a planned exit from the company. In September 2022, they jointly offloaded a 2.74 percent stake, generating approximately Rs. 2,005 crore. This was followed by Mrs. Shobha Gangwal selling a 4 percent stake in February 2023, amounting to Rs. 2,944 crore. Subsequently, in August 2023, she further divested nearly 2.9 percent of her shareholding, raising over Rs. 2,800 crore. Stakes were reduced by the family following a dispute with the other cofounder over corporate governance issus.
As of the latest available data, Mr. Rakesh Gangwal currently holds a 5.3 percent stake in IndiGo. Additionally, the Chinkerpoo Family Trust, managed by Mrs. Shobha Gangwal and JP Morgan Trust, holds an 8.23 percent stake in the company. Collectively, the Gangwal family and associated entities now own approximately 13.53 percent of IndiGo.
Business Highlights
With a leading market share of 64.10 percent, Indigo is far away from its competitors. On a YoY basis, from FY 24 to FY25, Indigo’s capacity increased by 13.10 percent to 157.50 billion, and passengers increased by 11.10 percent to 118.60 million. Fuel CASK (Cost per Available Seat Kilometre) decreased by 3.1 percent to Rs. 1.66.
However, CASK excluding fuel increased by 12.5 percent to Rs. 3.00, indicating that non-fuel operating costs per seat, such as employee expenses, maintenance, airport charges, or other overheads, have gone up.
Further, IndiGo expanded its capacity and successfully filled it, with strong growth in passengers and flight kilometres while maintaining a high load factor, reflecting robust operational performance.
IndiGo reported robust operational growth for the full year ended March 2025, with its Available Seat Kilometres (ASK) rising by 13.1 percent from 139.3 billion to 157.5 billion, reflecting an expansion in capacity through additional flights or longer routes.
Revenue Passenger Kilometres (RPK) also grew by 13.1 percent to 135.4 billion, indicating that passenger demand kept pace with the increased capacity. The load factor remained steady at a strong 86.0 percent, compared to 85.9 percent in the previous year, showcasing efficient seat utilisation and sustained occupancy levels.
Furthermore, the number of passengers carried rose by 11.1 percent to 118.6 million, underlining continued strong demand for air travel and IndiGo’s ability to serve a growing customer base effectively.
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Financial Highlights
The company reported a 24.27 percent YoY increase in revenue from Rs. 17,852 Crore in Q4FY24 to Rs. 22,152 Crore in Q4FY25. On a QoQ basis, the company reported an increase of 0.18 percent in revenue from Rs. 22,111 Crore in the previous quarter.
Their Net profit saw an increase of 62.24 percent YoY from Rs. 1,894 Crore to Rs. 3,073 Crore for the same period. On a QoQ basis, the company reported an increase of 25.83 percent in Net profit from Rs. 2,442 Crore in the previous quarter.
India’s domestic aviation sector recorded a robust year-on-year passenger traffic growth of 10.20 percent in April, according to ICRA. Passenger numbers rose to an estimated 145.50 lakh in April 2025, up from 132 lakh in the same month last year. Reflecting this upward trajectory,
ICRA has maintained a stable outlook for the Indian aviation industry. The consistent rise in passenger volumes underscores strong demand recovery and positions the sector for sustained growth. As a result, the future of airline travel in India appears promising, with market leaders well-placed to capitalise on the expanding opportunities and heightened travel demand.
Written By Abhishek Das
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