Jet Airways pulls out of loss-making routes

MUMBAI, FEB. 5: 

Jet Airways, which posted a net profit of Rs 85 crore for the quarter ended December 31, 2012, has pulled out of loss-making routes to increase profitability, Sudheer Raghavan, Chief Commercial Officer, told analysts in a conference call on Monday.

The airline gets 56 per cent of its revenue from international operations and the rest from domestic operations, Raghavan said.

When asked about competition from other Indian carriers in the international route, he said that currently Indian carriers carry only about 35 per cent of travellers from abroad to India.

“In any other mature market, it is the opposite. India is a huge travel generating market and hence, we are not at all perturbed by the presence of other Indian carriers in the international routes,” he said.

Jet Airways plans to add five to six narrow-bodied aircraft to its fleet in the next one year. The airline will also receive 12 to 13 B-777 aircraft, which it will either deploy on its network or lease them out.

“We cut down 10-12 per cent of our capacity in the current fiscal. Our strategy will be to get back to the capacity levels of 2012. Our strategy will be to drive yields up,” Raghavan added.

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