Aviation - Average daily domestic traffic jumps to 359k; PLFs reach 85% levels; scheduled international operations resume

The number of weekly average daily fliers recovered to 359k in the week ended (W.E) 26th Mar'22 vs 332k in the W.E. 19th Mar'22. For W.E. 26th Mar'22, the average number of daily departures remained flat at 2,620 and the number of fliers per departure increased to 137 from 126. All airlines witnessed sharp sequential improvement in PLFs in Feb'22. Scheduled international operations have resumed after a hiatus of two years.

Feb'22 monthly traffic update; Indigo loses market share.

- Feb'22 monthly traffic update: Total PAX for the month of Feb'22 came in at 7.7mn, up 20% YoY. 11MFY22 traffic was 74.5mn, which is 53%/139% of FY20/FY21 total traffic.

- PLFs improve sharply MoM: All the major airlines witnessed sequential increase in PLF. Reported PLFs for Feb'22 for Indigo / Air Asia / Vistara / GO First were 85% / 83% / 87% / 87%. Domestic PLF for 9MFY22 stood at 72% vs 86% in FY20 and 68% in FY21.

- Indigo witnesses market share drop in Feb'22; Tata gains: Indigo's market share dipped 420bps to 51% while that of Vistara / Air Asia / Air India improved 220bps / 120bps / 120bps to 9.7% / 5.8% / 12.6% in Feb'22.

Indigo gaining international market share: Data up to Dec'21 showed consistent improvement in Indigo's international market share from 17% in Jun'20 to 31% in Dec'21, which was very close to the Feb'20 high of 32%. As per Indigo, starting Apr'22, it will be operating on over 150 international routes across the Middle East, South / South-East Asia in a gradual ramp-up. With 505 weekly departures, Indigo has highest international departures on a standalone basis among all airlines from India.

Source : Equity Bulls

Keywords

Aviation SectorReport ICICISecurities PLF Indigo DomesticTraffic