Mumbai, Sep 8 : SpiceJet shares fell more than 5 per cent in intra-day trade on Monday, after the airline posted weak earnings for the first quarter of the financial year 2025-26 (Q1 FY26).

The budget carrier slipped into losses during the April-June quarter, reporting a consolidated net loss of Rs 234 crore. On a standalone basis, the airline reported a net loss of Rs 235.08 crore.

This is a sharp reversal from the net profit of Rs 158.18 crore it had posted in the same quarter previous year.

SpiceJet's revenue from operations also saw a big fall, dropping nearly 36 per cent year-on-year (YoY) to Rs 1,059.88 crore, compared to Rs 1,646.21 crore in the corresponding period of the previous fiscal.

The airline blamed this decline on multiple challenges, including geopolitical tensions with a neighbouring country and restrictions in international airspace, which hit demand for leisure travel.

It also faced delays in bringing grounded aircraft back into service due to global supply chain issues and engine maintenance problems.

Ajay Singh, Chairman and Managing Director of SpiceJet, said the results reflect the extraordinary challenges faced by the aviation industry.

He pointed to turbulence caused by geopolitics, restricted air routes, and supply chain disruptions.

However, he added that the airline remains resilient and is taking steps to improve fleet reliability, cut costs, and expand its network.

Singh expressed confidence that India's fast-growing aviation and tourism sectors would support a recovery in the coming quarters.

The airline also reported an EBITDA loss of Rs 18 crore in Q1 FY26, compared to a profit of Rs 402 crore a year ago.

Some operating metrics remained steady, with Passenger Revenue per Available Seat Kilometer (PAX RASK) at Rs 4.74 and Passenger Load Factor (PLF) at 86 per cent.

Meanwhile, SpiceJet's total expenses for the quarter fell 25 per cent to Rs 1,435.04 crore from Rs 1,919.58 crore previous year.

After the results, domestic brokerage firm Nuvama cut its target price for SpiceJet to Rs 40 from Rs 48 earlier while keeping a 'Hold' rating.

The brokerage said the airline's Q1 numbers were weaker than expected due to lower capacity, modest load factors, and higher costs.

/IANS