InterGlobe Aviation, parent company of IndiGo, will receive compensation from IAE for aircraft grounded due to engine issues. The airline's profit doubled in the March quarter.
Mumbai, Jun 14 (PTI) InterGlobe Aviation -- the parent company of no-frills carrier IndiGo -- on Friday said it will receive a "customised" compensation from aircraft engine maker Pratt & Whitney's affiliate firm International Aero Engine (IAE) for grounded aircraft.
"On June 14, 2024, InterGlobe Aviation Ltd finalized an amendment to the existing agreement with International Aero Engines, LLC, an affiliate of Pratt & Whitney pursuant to which IAE will provide IndiGo with a customized compensation in relation to the ongoing situation of aircraft on ground due to unavailability of engines," InterGlobe Aviation said in a regulatory filing.
The company, however, did not give the amount of compensation.
A good number of IndiGo aircraft are grounded amid supply chain and engine issues.
In February, the airline had said the number of aircraft on ground was in the mid-70s.
The Gurugram-based budget carrier airline is the only profit-making domestic carrier.
It reported more than doubling of profit after tax to Rs 1,894.8 crore in the March quarter, fuelled by higher traffic, increased capacity and favourable external environment.
For FY24, the airline posted a net profit of Rs 8,172.5 crore on record total income of Rs 18,505.1 crore.
At the end of March, the airline had a fleet of 367 planes, including 13 on damp lease.
IndiGo's domestic market share rose to 61.6 per cent in May, as per the data released by the DGCA on Friday.
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