What is the reason behind the narrowing net loss of ₹428 crore for SpiceJet in Q2

SpiceJet Q2 net loss narrows to ₹428 crore
  • Improved operating performance: SpiceJet's Q2 net loss narrowed primarily due to improved operating performance compared to the previous quarter.
  • Higher operating revenue: The airline reported higher operating revenue in Q2, driven by an increase in passenger numbers and a gradual recovery in travel demand.
  • Cost control measures: SpiceJet implemented stringent cost control measures during the quarter to reduce expenses, including cost-cutting initiatives across various departments and renegotiating contracts with suppliers.
  • Lower fuel costs: With a decrease in fuel prices during the quarter, the airline benefited from reduced fuel costs, enabling it to enhance its operating margin.
  • Government support: Like other airlines, SpiceJet has received support from the government in the form of various relief measures aimed at minimizing the impact of the pandemic on the aviation industry.
  • Focus on cargo operations: SpiceJet has also focused on enhancing its cargo operations, which have seen increased demand during the pandemic, providing an additional revenue stream.
Overall, a combination of improved operating performance, cost control measures, lower fuel costs, government support, and a focus on cargo operations contributed to the narrowing net loss of ₹428 crore for SpiceJet in Q2.
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