The News International Team
1:30 pm Buzzing: Shares of SpiceJet soared 14 percent intraday on Monday despite posting a dismal April-June quarter. The budget carrier reported a net loss of Rs 124.10 crore for the three months ended June, mainly bogged down by higher expenses. It had a net profit of Rs 50.56 crore in the year-ago period.
In the first quarter of current fiscal, the airline saw its total income from operations slide to Rs 1,691.04 crore from Rs 1,701.54 crore recorded in the same period a year ago. Besides, the company’s expenses climbed to Rs 1,782.95 crore in the latest June quarter.
However, the management seem quite confident about its future. In an interview to CNBC-TV18, Group CFO, SL Narayanan said the company is not going away in any hurry and is not closing down. “The auditors have rightly said that our net worth has now gone in the negative, but we will pull through and survive. We have invested Rs 1400 crore in the company and we will ensure it is held in safe custody,” said Narayanan.
He added that the company is now working on getting a more lean structure and the company is now cutting routes that are less profitable.
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The bulls make a come back on Dalal Street just after returning from a long weekend. The Nifty hits at record high,up 51.20 points at 7842.90. The Sensex is up 179.63 points at 26282.86. About 1772 shares have advanced, 899 shares declined, and 98 shares are unchanged.
Capital Goods index jumped over 2 percent while auto and banks supported the rally. Only IT and FMCG indices are in red. Even midcap and smallcaps are flexing muscles with oever 1 percent gains each.
Both Infosys and Maruti are up 5 percent each Since July 25 high while HUL and M&M gain over 8 percent. HUL and M&M lead the Nifty back to record high. L&T and Tata Power are down over 10 percent from the earlier record high period.