InterGlobe Aviation, the parent company of budget carrier IndiGo, saw its shares jump as much as 4.62% in Monday's trading session after the company posted its financial results for the quarter ended March 31, 2026.
The stock opened at ₹4,525 apiece, compared with the previous close of ₹4,405 on Friday last week. The stock touched an intraday high of ₹4633 on the NSE on 1 June.
IndiGo Q4 results 2026
Budget airline IndiGo reported a net loss of ₹2,536 crore for the fourth quarter of FY26, compared with a net profit of ₹3,067 crore in the corresponding quarter last year. Revenue from operations increased slightly by 1% year-on-year to ₹22,438 crore. IndiGo posted its earnings after market hours on Friday.
The airline said its capacity, measured in available seat kilometres (ASKs), grew 3.4% to 43.6 billion despite disruptions linked to the ongoing Middle East conflict. Passenger traffic edged down 1.1% year-on-year (YoY) to 31.6 million, while the load factor declined by 1.7 percentage points to 85.8%.
Yield decreased 2% YoY to ₹5.2, reflecting pressure on operating performance during the quarter.
EBITDAR, excluding foreign exchange impact, stood at ₹6,435 crore versus ₹6,862 crore in the year-ago period, with the EBITDAR margin narrowing to 28.7% from 31%.
On a reported basis, EBITDAR dropped significantly to ₹2,228 crore from ₹6,948 crore a year earlier, while the corresponding margin contracted to 9.9% from 31.4%.
"FY26 was marked by an exceptionally challenging operating environment, which materially impacted our profitability. Despite these conditions, the underlying performance of the business remained resilient," said Rahul Bhatia, managing director at IndiGo.
IndiGo share price: Should you buy or sell?
Brokerage firm Motilal Oswal has reiterated a ‘buy’ rating on the IndiGo stock, with a target price of ₹5,600 apiece.
“Factoring in better cost control by the company, we increase our FY27E/FY28E EBITDAR by 5%-2%. We largely retain our FY27E/FY28E earnings estimates. We value the stock at 9x FY28E EBITDAR to arrive at our TP of INR5,600,” the firm said.
Meanwhile, brokerage JM Financial has also maintained its ‘add’ rating on the IndiGo stock. The brokerage firm has given the target price of ₹5,000 per share, seeing an upside potential of up to 13.5%.
“With the stock having corrected post recent disruptions, our P/E-based valuation pegged to long-term average multiple implies healthy upside from current levels. Maintain ADD,” it said.
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.
