Key financial figures of Jet Airways FY 2014-2019
In fiscal year 2019, Jet Airways reported a loss before tax of 55.36 billion Indian rupees. After a series of unprofitable years, the airline declared bankruptcy in early 2019. The private air carrier, established in 1992, temporarily suspended operations in April 2019, following which insolvency proceedings officially commenced in July that year.
What happened?
Even with a market share of over 15 percent in financial year 2018, the airline’s competitors, including IndiGo, SpiceJet and others, reduced fares drastically in the years that followed to gain visibility in the market. Jet was forced to follow suit, resulting in years of financial losses, even though it was one of the preferred passenger airlines during this time.
A tough year for the air-carrier market
Along with Jet Airways, its counterparts suffered a financially disappointing year as well. IndiGo , the market leader at the time, also reported losses in fiscal year 2019 until the last quarter. Air India, a publicly owned carrier, similarly reflected a poor balance sheet. This was because of high oil prices which meant increasing prices for air turbine fuel, and foreign exchange losses resulting in a difficult business climate for the entire market that fiscal year. The silver lining, however, is that passengers are still in need of flights, reflected in growing traffic , both within the country and internationally.
What happened?
Even with a market share of over 15 percent in financial year 2018, the airline’s competitors, including IndiGo, SpiceJet and others, reduced fares drastically in the years that followed to gain visibility in the market. Jet was forced to follow suit, resulting in years of financial losses, even though it was one of the preferred passenger airlines during this time.
A tough year for the air-carrier market
Along with Jet Airways, its counterparts suffered a financially disappointing year as well. IndiGo , the market leader at the time, also reported losses in fiscal year 2019 until the last quarter. Air India, a publicly owned carrier, similarly reflected a poor balance sheet. This was because of high oil prices which meant increasing prices for air turbine fuel, and foreign exchange losses resulting in a difficult business climate for the entire market that fiscal year. The silver lining, however, is that passengers are still in need of flights, reflected in growing traffic , both within the country and internationally.
