Coronavirus takes the wind out of IndiGo – shares tumble despite a 200% jump in profits

• The shares of IndiGo fell by over 3% on Tuesday.
  
• IndiGo currently runs two daily flights to China, which has seen cancellations reported PTI.
  
• The airlines parent company InterGlobe Aviation saw a twofold jump in profits of ₹496 crore.

The Coronavirus outbreak in China has spread panic across the world with hundreds and thousands of people delaying their trips. Indian airlines IndiGo has been at the receiving end of these cancellations.

IndiGo currently runs two daily flights to China, which are on the receiving end of cancellations, reported PTI. The Coronavirus broke out in Wuhan, which is a big business centre in China.

The shares of IndiGo fell by over 3% to trade at ₹1448.3 on Tuesday. This is in spite of the fact that the company reported good earnings for the third quarter, a day before.

The airlines parent company InterGlobe Aviation saw a twofold jump in profits to ₹496 crore. In the same quarter the previous year, the company’ profits stood at ₹185.2 crore.

"We started operations in 7 new international routes and 17 new domestic routes and operated a peak of 1,634 daily departures during the quarter. I am very enthusiastic about the way we have been developing our network, connecting cities large and small to provide more choice to our customers," IndiGo CEO Ronojoy Dutta said.

However, IndiGo is not the only one to be facing issues as airlines across the world are offering free cancellations to trips to China.

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