Aviation

Indian airlines have once again suspended flights to Kathmandu as Nepal faces intensifying political unrest and widespread protests in the capital. Major carriers, including Air India, IndiGo, and SpiceJet, have temporarily halted operations citing safety concerns for passengers and crew. The suspension follows a day of turmoil in Kathmandu, where demonstrations led to the closure of Tribhuvan International Airport.

SpiceJet Ltd., one of India’s leading low-cost carriers, reported a consolidated loss of Rs. 238 crore for the first quarter, attributed primarily to escalating fuel prices, higher maintenance expenditures, and rising airport charges. Despite stable passenger demand and improved load factors, the airline’s profitability was significantly impacted by surging operating costs. Analysts indicate that the results highlight the broader challenges facing India’s aviation sector, including volatile crude oil prices and inflationary pressures.

Air India and Singapore Airlines have embarked on a strategic collaboration aimed at exchanging best practices across operations, service quality, and workforce training. The partnership underscores a shared vision to elevate service standards, improve operational efficiency, and strengthen competitiveness in a fast-evolving aviation market. By pooling expertise in areas such as customer experience, digital innovation, and safety protocols, both carriers aim to leverage their respective strengths to create sustainable long-term value.

IndiGo, India’s largest airline by market share, has officially commenced construction of its new Maintenance, Repair, and Overhaul (MRO) facility at Bengaluru’s Kempegowda International Airport. The project marks a significant step in the airline’s strategy to strengthen its operational efficiency and self-reliance in aircraft servicing. Spread across a sprawling 13-acre site, the facility is designed to handle multiple aircraft simultaneously and meet global maintenance standards.

InterGlobe Aviation Ltd., which operates India’s largest airline IndiGo, posted a net profit of Rs. 2,161 crore for the first quarter of FY2025, marking a 21% year-on-year decline. The dip comes despite a robust uptick in passenger volumes and total revenue, reflecting mounting cost pressures, elevated fuel prices, and rupee depreciation against the U.S. dollar. Operational efficiency, network expansion, and passenger demand remained resilient. However, profit margins tightened due to a surge in operating expenses.

In a significant step toward providing justice and relief, Air India has distributed interim compensation of Rs. 25 lakh each to the legal heirs of 166 passengers who lost their lives in the tragic 2020 Kozhikode plane crash. The move, though long overdue, marks a moment of closure for many families, as the national carrier begins fulfilling its compensation obligations. This interim payout follows prolonged legal and bureaucratic processes and comes amid ongoing calls for full and fair compensation under international aviation norms.

Air India has compensated nearly two-thirds of the families affected by the tragic June 12 Dreamliner crash near Ahmedabad, which claimed 260 lives, including onboard passengers and those on the ground. Under Tata Sons’ ownership, the airline has provided interim payments of Rs. 25 lakh and committed Rs. 1 crore per deceased family, alongside ongoing support structures for long-term assistance. The carrier continues a strategic "Safety Pause," reducing flights by 15% to conduct rigorous aircraft inspections and enhance operational resilience.

In a strategic move aimed at strengthening its global footprint, InterGlobe Aviation, the parent company of IndiGo, has appointed former Niti Aayog CEO and India’s G20 Sherpa, Amitabh Kant, as a Non-Executive Director. Subject to regulatory and shareholder approvals, Kant’s induction to the board aligns with IndiGo’s broader vision to become a globally competitive airline by 2030.