INDIGO MAY HIKE AIRFARES AS FUEL EXPENSES SURGE; AIRLINE REPORTS ₹1,879-CRORE QUARTERLY LOSS

October 30, 2026

KOLKATA, OCTOBER 30, 2026: IndiGo may increase airfares to offset a sharp rise in aviation fuel expenses, as the country's largest airline reported a net loss of ₹1,879 crore for the quarter ended September 30, 2026. Chief Executive Officer Willie Walsh said the airline had little choice but to consider higher ticket prices amid mounting operational costs.

Although the quarterly loss narrowed from ₹2,582 crore recorded during the corresponding period last year, the airline's financial performance continued to face pressure from rising fuel prices and geopolitical uncertainties. IndiGo's fuel expenditure increased by 67.2 per cent year-on-year to approximately ₹9,967 crore. The airline recovered only around 60 per cent of the additional expenditure through higher fares and other measures.

Passenger numbers also declined by 4.7 per cent compared with the same quarter last year. Aviation industry experts attributed the reduction partly to expensive air tickets, which have affected demand during the festive travel season.

The impact of rising costs is particularly visible on several routes from Kolkata. The average one-way fare between Kolkata and Bagdogra has reportedly increased from approximately ₹3,500 to more than ₹7,000. Kolkata-Bengaluru fares have risen from around ₹6,500 to ₹9,000, while tickets to Delhi for November 20 were priced above ₹10,000 on Thursday, compared with approximately ₹5,500 earlier.

International travel has also become more expensive. The return fare between Kolkata and Bangkok reportedly exceeded ₹30,000, against approximately ₹20,000 during the corresponding period last year.

Travel industry representatives said the higher fares were discouraging group travel and reducing corporate bookings. Some passengers were reportedly choosing trains instead of domestic flights.

Walsh also highlighted the depreciation of the Indian rupee as an additional financial challenge, explaining that 50 to 60 per cent of IndiGo's non-fuel expenses are denominated in US dollars. The airline is therefore exposed to currency fluctuations alongside the rising cost of aviation fuel.

IndiGo's financial results underline the growing pressure on the aviation industry, where escalating fuel bills, currency depreciation and higher ticket prices are affecting both airline profitability and passenger demand.