Mumbai: Shares of Aviation companies like SpiceJet and Jet Airways Friday settled with gains of more than 5 percent, after a record profit announced by their unlisted counterpart IndiGo, boosted investor sentiments.
According to market analysts, IndiGo's profit benefitted mainly from significant decline in fuel prices, and this factor is also likely to help other carriers like Jet Airways and SpiceJet.
Shares of Jet Airways settled for the day at Rs 328.10, up 5.80 percent. During intra-day trading, the stock had surged as much as 7.70 percent.
SpiceJet shares ended the day at Rs 24.25, up 5.21 percent. During intra-day trading, the scrip had surged 9.32 percent on the BSE.
Maintaining profitability for seven straight years, budget airline IndiGo had yesterday reported more than four-fold jump in profit for 2014-15 fiscal at Rs 1,304 crore.
This is also the highest ever annual profit registered by the airline -- which is also preparing for a Rs 2,500 crore initial public offer -- since its inception in 2005.
According to market analysts, IndiGo's numbers signal a revival in the industry.
Meanwhile, the benchmark BSE Sensex today ended 11.96 points down at 25,610.21 in highly volatile trading.
