IndiGo Shares Drop 6.63% After CEO Summoned Over Flight Cancellations.
Shares of InterGlobe Aviation Ltd. (IndiGo) plunged as much as 6.63%, marking their biggest fall in eight months, after India’s civil aviation regulator called on the airline’s CEO to explain the massive flight cancellations.
The stock fell to ₹5,015 on the BSE, even as the S&P BSE Sensex declined just 0.25%. On Monday, IndiGo reported over 300 flight cancellations, following more than 1,000 cancellations on Friday. On Sunday, the airline said it was on track to operate 1,650+ flights, with on-time performance improving to 75%.
Analysts from Jefferies highlighted that the airline faces rising costs from cancellations, coupled with pressure from a weaker rupee and higher crew expenses, adding strain to its operations and profitability.
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