MIRA INFORM REPORT

Report No. :	507940
Report Date :	09.05.2018

IDENTIFICATION DETAILS

Name :	SPICEJET LIMITED [w.e.f. 2005]
Formerly known as:	ROYAL AIRWAYS LIMITED
Registered Office :	Indira Gandhi International Airport, Terminal 1D, New Delhi – 110037
Tel. No.:	91-124-3913939
Country :	India
Financials (as on) :	31.03.2017
Date of Incorporation :	09.02.1984
Com. Reg. No.:	55-288239
Capital Investment / Paid-up Capital :	INR 5994.500 Million
CIN No.: [Company Identification No.]	L51909DL1984PLC288239
IEC No.: [Import-Export Code No.]	0593003667
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AACCR1459F
GSTN : [Goods & Service Tax Registration No.]	06AACCR1459F1ZK [Gurugram]
Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.
Line of Business :	Subject is engaged principally in the business of Providing Air Transport Services for the Carriage of Passengers and Cargo. [Registered Activity]
No. of Employees :	6902 (Approximately)

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

B

Credit Rating	Explanation	Rating Comments
B	Medium Risk	Business dealings permissible on a regular monitoring basis

Status :	Moderate
Payment Behaviour :	Slow
Litigation :	Exist
Comments :	Spicejet Limited was incorporated in the year 1984. It is the third largest airline in the country with a market share of 13.3% as of October 2017. The airline operates 312 daily flights to 55 destinations, including 45 Indian and 10 international destinations from its hubs at Delhi, Kolkata and Hyderabad. For the financial year 2017, the company has achieved revenue growth of 21.68% as compared to the previous year but has managed to maintain an average profit margin of 6.96%. The overall financial risk profile of the company seems to be moderate marked by eroded net worth base. As per the unaudited quarterly financials of December 2017, the company achieved revenue of INR 20819.500 million along with a profit of INR 2399.900 million. Rating takes into account the subject’s long established track record of business operations along with extensive experience of its promoters. Payments seems to be slow. In view of aforesaid, the company can be considered for business dealings with some caution. Note: As the networth of the company is negative we are unable to provide any credit limit.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	D

EXTERNAL AGENCY RATING

NOT AVAILABLE

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2018.

BIFR (Board for Industrial & Financial Reconstruction) LISTING STATUS

Subject’s name is not listed as a Sick Unit in the publicly available BIFR (Board for Industrial & Financial Reconstruction) list as of 09.05.2018

IBBI (Insolvency and Bankruptcy Board of India) LISTING STATUS

Subject’s name is not listed in the publicly available IBBI (Insolvency and Bankruptcy Board of India) list as of report date.

INFORMATION DECLINED BY

Name :	Mr. Manish Kumar
Designation :	Not Divulged
Contact No.:	91-9871016748
Date :	08.05.2018

MANAGEMENT NON-COOPERATIVE [Tel No.: 91-124-3913939]

LOCATIONS

Registered Office :	Indira Gandhi International Airport, Terminal 1D, New Delhi – 110037, India
Tel. No.:	Not Available
Mobile No.:	91-9871016748 [Mr. Manish Kumar]
Fax No.:	Not Available
E-Mail :	nodalofficer@spicejet.com appellateauthority@spicejet.com  custrelations@spicejet.com investors@spicejet.com chandan.sand@spicejet.com manish.kumar@sipcejet.com
Website :	http://www.spicejet.com
Corporate/ Head Office:	319/ 320, Udyog Vihar, Phase IV, Gurugram – 122016, Haryana, India
Tel. No.:	91-124-3913939
Fax No.:	91-124-3913844

DIRECTORS

AS ON: 31.03.2017

Name :

Mr. Anurag Bhargava

Designation :

Director

Address :

77, Hudson ST., Apartment 6 New York 10013 US

Date of Birth/Age :

17.07.1966

Date of Appointment :

07.09.2016

DIN No.:

01297542

Other Directorship :

CIN/FCRN	Company Name	Begin Date
U52390DL2013PTC250598	GADGETWOOD ESERVICES PRIVATE LIMITED	09/09/2016
U65922HR2016PTC057984	UMMEED HOUSING FINANCE PRIVATE LIMITED	29/09/2016
U70102TN2006FTC061907	ONEHUB (CHENNAI) PRIVATE LIMITED	30/09/2014
U70109TN2006PTC065397	TRUE DEVELOPERS PRIVATE LIMITED	25/09/2014

Name :

Mr. Ajay Singh

Designation :

Chairman and Managing Director

Address :

B-1 Kalindi Colony, New Delhi-110065, India

Date of Birth/Age :

29.12.1965

Date of Appointment :

21.05.2015

DIN No.:

01360684

Other Directorship :

CIN/FCRN	Company Name	Begin Date
U34102DL2008PTC173868	ARGENTUM MOTORS PRIVATE. LIMITED	08/02/2008
U34200DL2010PTC199439	SPICE AUTOMOBILES PRIVATE LIMITED	23/02/2010
U34300DL2011PTC227975	GREENWHEELS EV PRIVATE LIMITED	28/11/2011
U35900DL2010PTC210626	ARGENTUM DEFENCE SYSTEMS PRIVATE LIMITED	20/11/2010
U40106DL2008PTC173665	ARGENTUM POWER PRIVATE LIMITED	06/02/2008
U45200DL2010PTC210608	ARGENTUM HOUSING PRIVATE LIMITED	20/11/2010
U50102DL2009PTC190368	ARGENTUM MACHINO PRIVATE LIMITED	18/05/2009
U52520DL2016PTC303136	SPICEJET MERCHANDISE PRIVATE LIMITED	18/07/2016
U60200DL2009PTC193648	GREENLINE TRANSIT SYSTEM PRIVATE LIMITED	28/08/2009

Name :

Mr. Raghavan Sasiprabhu Karunamittom

Designation :

Director

Address :

J-15, Jangpura Extention, New Delhi-110014, India

Date of Appointment :

01.12.2015

DIN No.:

05116814

Other Directorship :

CIN/FCRN	Company Name	Begin Date
U01400DL2011PTC228390	MEENAKSHY CASHEW PRIVATE LIMITED	07/12/2011
U01403DL2011PTC228698	MEENAKSHY AGRI & ECO TOURISM PRIVATE LIMITED	13/12/2011
U70200DL2011PTC227676	MUNI MEDU PRIVATE LIMITED	21/11/2011

Name :

Mrs. Shiwani Singh

Designation :

Director

Address :

B-1 Kalindi Colony, New Delhi-110065, India

Date of Birth/Age :

21.11.1971

Qualification :

Graduate

Experience:

Mrs. Singh is competent businesswoman who takes care of her family’s real estate and fashion accessories business. She brings rich and successful experience in general business management and also provides benefit of gender diversity to the Board of Directors

Date of Appointment :

21.05.2015

DIN No.:

05229788

Other Directorship :

CIN/FCRN	Company Name	Begin Date
L70101DL2002PLC115544	MULTIPURPOSE TRADING AND AGENCIES LIMITED	30/07/2012
U31401DL2011PTC227448	GREEN VOLT TECHNOLOGIES PRIVATE LIMITED	09/04/2012
U34200DL2010PTC199439	SPICE AUTOMOBILES PRIVATE LIMITED	30/01/2013
U34300DL2011PTC227975	GREENWHEELS EV PRIVATE LIMITED	30/07/2012
U35900DL2010PTC210626	ARGENTUM DEFENCE SYSTEMS PRIVATE LIMITED	07/04/2012
U35923DL2010PTC206698	ARGENTUM ELECTRIC VEHICLES PRIVATE LIMITED	07/04/2012
U45200DL2010PTC210608	ARGENTUM HOUSING PRIVATE LIMITED	30/07/2012
U52520DL2016PTC303136	SPICEJET MERCHANDISE PRIVATE LIMITED	18/07/2016
U60200DL2009PTC193648	GREENLINE TRANSIT SYSTEM PRIVATE LIMITED	20/11/2012

Name :

Dr. Harsha Vardhana Singh

Designation :

Director

Address :

A-89 Madhuvan, Delhi-110092, India

Date of Birth/Age :

30.08.1956

Date of Appointment :

07.09.2016

DIN No.:

07110296

Other Directorship :

CIN/FCRN	Company Name	Begin Date
U74999DL2013NPL248687	BROOKINGS INSTITUTION INDIA CENTER	26/07/2016

KEY EXECUTIVES

Name :	Mr. Kiran Kumar Koteshwar
Designation :	Chief Financial Officer
Address :	18/204, Heritage City DLF, Phase 2, Gurugram-122001, Haryana, India
Date of Appointment :	28.05.2015
PAN No.:	AIXPK2189B
Name :	Mr. Chandan Sand
Designation :	VP (Legal) and Company Secretary
Address :	62/10, Primrose Vatika City, Sector- 49, Gurugram-122018, Haryana, India
Date of Appointment :	06.02.2012
PAN No.:	ASYPS3888C

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON: 31.03.2018

Category of shareholder	Total nos. shares held	Shareholding as a % of total no. of shares (calculated as per SCRR, 1957)As a % of
(A) Promoter & Promoter Group	1337103120	74.95
(B) Public	446963908	25.05
Grand Total	1784067028	100.00

Statement showing shareholding pattern of the Promoter and Promoter Group

Category of shareholder	Total nos. shares held	Shareholding as a % of total no. of shares (calculated as per SCRR, 1957)As a % of
A1) Indian		0.00
Individuals/Hindu undivided Family	63338260	3.55
PIA SINGH	21332500	1.20
RENUKA TALWAR	1540000	0.09
INDIRA KUSHAL PAL SINGH	4034360	0.23
K P SINGH	10461000	0.59
RAJIV SINGH	16456320	0.92
KAVITA SINGH	9514080	0.53
Any Other (specify)	1273764860	71.40
RAJDHANI INVESTMENTS AND AGENCIES PRIVATE LIMITED	964680080	54.07
REALEST BUILDERS AND SERVICES PRIVATE LIMITED	14927680	0.84
UNIVERSAL MANAGEMENT AND SALES LLP	5455560	0.31
JHANDEALAN ANCILLARIES LLP	47388000	2.66
BEVERLY BUILDERS LLP	1099120	0.06
PARVATI ESTATES LLP	6380000	0.36
PREM TRADERS LLP	90059200	5.05
RAISINA AGENCIES LLP	65889120	3.69
MALLIKA HOUSING COMPANY LLP	77798100	4.36
PREM'S WILL TRUST(HELD BY MR. K.P. SINGH & MR. RAJIV SINGH	88000	0.00
DLF URVA REAL ESTATE DEVELOPERS & SERVICES PRIVATE LIMITED		0.00
Sub Total A1	1337103120	74.95
A2) Foreign		0.00
A=A1+A2	1337103120	74.95

Statement showing shareholding pattern of the Public shareholder

Category & Name of the Shareholders	Total no. shares held	Shareholding % calculated as per SCRR, 1957 As a % of
B1) Institutions		0.00
Mutual Funds/	35526541	1.99
Foreign Portfolio Investors	289897622	16.25
GOVERNMENT OF SINGAPORE	83997744	4.71
OPENHEIMER GLOBAL FUND	67546785	3.79
Financial Institutions/ Banks	2419073	0.14
Insurance Companies	2065571	0.12
Any Other (specify)	11	0.00
Sub Total B1	329908818	18.49
B2) Central Government/ State Government(s)/ President of India		0.00
B3) Non-Institutions		0.00
Individual share capital up to INR 0.200 Million	54354591	3.05
Individual share capital in excess of INR 0.200 Million	43682521	2.45
NBFCs registered with RBI	41256	0.00
Any Other (specify)	18976722	1.06
Bodies Corporate	58100	0.00
Clearing Members	800483	0.04
Bodies Corporate	49599	0.00
Bodies Corporate	589528	0.03
Bodies Corporate	14904215	0.84
Bodies Corporate	1659396	0.09
Bodies Corporate	903971	0.05
Bodies Corporate	11430	0.00
Sub Total B3	117055090	6.56
B=B1+B2+B3	446963908	25.05

BUSINESS DETAILS

Line of Business :	Subject is engaged principally in the business of Providing Air Transport Services for the Carriage of Passengers and Cargo. [Registered Activity]
Brand Names :	“SPICEJET”
Agencies Held :	Not Divulged
Exports :	Not Divulged
Imports :	Not Divulged
Terms :
Selling :	Not Divulged
Purchasing :	Not Divulged

PRODUCTION STATUS: (NOT AVAILABLE)

GENERAL INFORMATION

Suppliers :

Reference:	Not Divulged
Name of the Person (Designation):	--
Contact Number:	--
Since how long known:	--
Maximum limit dealt:	--
Experience:	--
Remark	--

Customers :

Reference:	Not Divulged
Name of the Person (Designation):	--
Contact Number:	--
Since how long known:	--
Maximum limit dealt:	--
Experience:	--
Remark	--

No. of Employees :

6902 (Approximately)

Bankers :

· Allahabad Bank

· City Union Bank Limited

· HDFC Bank Limited

· ICICI Bank Limited

· State Bank of India

· Yes Bank Limited

Facilities :

SECURED LOANS	31.03.2017 (INR In Million)	31.03.2016 (INR In Million)
SHORT TERM BORROWINGS
Inter corporate deposits	50.000	50.000
Working capital demand loan from bank	1000.000	1000.000
Pre-shipment credit foreign currency loan	1472.450	0.000
Total	2522.450	1050.000

Auditors :
Name :	S. R. Batliboi and Associates LLP Chartered Accountants
Address :	Tidel Park, 6^th and 7^th Floor-A Block (Module 601, 701-702), No.4, Rajiv Gandhi Salai, Taramani, Chennai – 600113, Tamilnadu, India
Tel. No.:	91-44-66548100
Fax No.:	91-44-22540120
Memberships :	Not Available
Collaborators :	Not Available
Enterprises over which parties above or their relatives have control / significant influence (‘Affiliates’)	· Crosslink Finlease Private Limited · Greenline Transit System Private Limited · Intel Constructions Private Limited · One City, Promoters Private Limited · Multipurpose Trading and Agencies Limited · Argentum Motors Private Limited · Spice Homes (Meerut) Private Limited · Green Volt Technologies Private Limited · Indiverse Broadband Private Limited · Smartnagar Digital Ventures Private Limited · Argentum Auto Private Limited · Smartnagar Broadband Networks Private Limited · Starbus Services Private Limited · Argentum Engineering Design Private Limited · Spice Homes Private Limited · Argentum Electric Vehicles Private Limited · Argentum Defence Systems Private Limit · i2n Technologies Private Limited · Greenstar Mobility Private Limited · Greenvolt Technologies Private Limited · Greenline Communication Private Limited · Pan India Motors Private Limited
Investment in equity shares of subsidiaries :	· SpiceJet Merchandise Private Limited · SpiceJet Technic Private Limited

CAPITAL STRUCTURE

AS ON: 31.03.2017

Authorised Capital :

No. of Shares	Type	Value	Amount
1500000000	Equity Shares	INR 10/- each	INR 15000.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
599450183	Equity Shares	INR 10/- each	INR 5994.500 Million

Reconciliation of Equity Shares outstanding at the beginning and at the end of the reporting period

Particulars	As at March 31, 2017
	Number	Value [INR]
Shares outstanding at the beginning of the period	599450183	5994.502
Issued during the year	--	--
Shares outstanding at the end of the period	599450183	5994.502

Term / Rights attached to Equity Shares

The Company has only one class of equity shares having a par value of INR 10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by the board of directors is subject to the approval of the shareholders in the ensuing annual general meeting.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

Details of Shareholders holding more than 5 percent in the Company:

Name of Shareholder	As at March 31, 2017
	No. of Shares	% against total number of shares
Mr. Ajay Singh	354443450	59.13%
Total	354443450	59.13%

As per of the Company, including its register of shareholders / members and other declarations received from shareholders regarding beneficial interest, the above shareholding represents both legal and beneficial ownership of shares.

Aggregate number of bonus shares, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceeding the reporting date:

The Company has issued total 171,665 shares (March 31, 2016 - 1091265 shares) (March 31, 2015 - 1732865 shares) during the period of five years immediately preceeding the reporting date on exercise of options granted under the employee stock option (‘ESOP’) plan wherein part consideration was received in form of employee services.

FINANCIAL DATA

[all figures are in INR Million]

ABRIDGED BALANCE SHEET [STANDALONE]

SOURCES OF FUNDS	31.03.2017	31.03.2016	31.03.2015
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	5994.500	5994.500	5994.500
(b) Reserves & Surplus	(12085.430)	(16383.130)	(22144.670)
(c) Money received against share warrants	0.000	0.000	5290.890
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	(6090.930)	(10388.630)	(10859.280)
(3) Non-Current Liabilities
(a) Long-term borrowings	7759.840	9209.220	11198.650
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	670.730	757.980	254.780
(d) long-term provisions	2897.250	2634.020	1852.970
Total Non-current Liabilities (3)	11327.820	12601.220	13306.400
(4) Current Liabilities
(a) Short term borrowings	2522.450	1050.000	1200.000
(b) Trade payables	5845.150	7209.870	9492.710
(c) Other current liabilities	14886.670	14310.260	9188.670
(d) Short-term provisions	1417.920	3684.340	3737.400
Total Current Liabilities (4)	24672.190	26254.470	23618.780
TOTAL	29909.080	28467.060	26065.900
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	16188.790	16265.490	17114.380
(ii) Intangible Assets	9.020	10.100	23.870
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.430	0.000	0.000
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	190.330	0.000	3101.810
(e) Other Non-current assets	5256.320	5388.650	344.360
Total Non-Current Assets	21644.890	21664.240	20584.420
(2) Current assets
(a) Current investments	1397.520	204.640	0.000
(b) Inventories	869.940	665.460	451.170
(c) Trade receivables	617.690	433.740	1281.830
(d) Cash and cash equivalents	2011.650	1059.020	235.840
(e) Short-term loans and advances	0.000	0.000	3292.250
(f) Other current assets	3367.390	4439.960	220.390
Total Current Assets	8264.190	6802.820	5481.480
TOTAL	29909.080	28467.060	26065.900

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2017	31.03.2016	31.03.2015
	SALES
		Revenue from Operations	61912.660	50880.720	52430.650
		Other Income	801.340	1309.350	1387.650
		TOTAL	62714.000	52190.070	53818.300
Less	EXPENSES
		Employees benefits expense	6735.390	4924.510	5374.660
		Operating expenses	44325.140	35941.020	48057.590
		Selling and marketing expenses	2092.900	1637.050	2793.610
		Other expenses	3326.420	3003.190	2371.650
		Exceptional items	(385.540)	(636.940)	(613.550)
		TOTAL	56094.310	44868.830	57983.960
	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION		6619.690	7321.240	(4165.660)
Less	FINANCIAL EXPENSES		326.360	1025.290	1438.630
	PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION		6293.330	6295.950	(5604.290)
Less/ Add	DEPRECIATION/ AMORTISATION		1986.050	1798.070	1266.250
	PROFIT/ (LOSS) BEFORE TAX		4307.280	4497.880	(6870.540)
Less	TAX		0.000	0.000	0.000
	PROFIT/ (LOSS) AFTER TAX		4307.280	4497.880	(6870.540)
	EARNINGS IN FOREIGN CURRENCY
		Passenger revenue		2876.910	2125.440
		Cargo revenue		31.690	29.180
		Incentives received		232.710	312.170
		Income from wet lease of aircraft		0.000	185.270
	TOTAL EARNINGS		NA	3141.310	2652.060
	IMPORTS
		Capital Goods		200.060	48.220
		Stores & Spares		609.110	616.550
		Aviation turbine fuel		1182.570	1403.910
	TOTAL IMPORTS		NA	1991.740	2068.680
	Earnings/ (Loss) Per Share (INR)
	Basic		7.19	7.50	(12.28)
	Diluted		7.19	5.70	(12.28)

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Current Maturities of Long term borrowings	1272.260	2037.350	2374.790
Cash generated from operations	3223.660	5439.600	(4041.390)
Net cash flow from / (used in) operating activities	4963.210	7111.730	(4109.090)

QUARTERLY RESULTS

PARTICULARS	31.12.2017	30.09.2017	30.06.2017
Type	1^st Quarter	2^nd Quarter	3^rd Quarter
Net Sales	20819.500	18143.000	18695.300
Total Expenditure	17802.300	16584.700	16411.400
PBIDT (Excl OI)	3017.200	1558.300	2283.900
Other Income	290.000	241.900	199.300
Operating Profit	3307.200	1800.200	2483.200
Interest	321.600	173.100	169.900
Exceptional Items	NA	NA	NA
PBDT	2985.600	1627.100	2313.300
Depreciation	585.700	574.300	561.000
Profit Before Tax	2399.900	1052.800	1752.300
Tax	NA	NA	NA
Provisions and contingencies	NA	NA	NA
Profit After Tax	2399.900	1052.800	1752.300
Extraordinary Items	NA	NA	NA
Prior Period Expenses	NA	NA	NA
Other Adjustments	NA	NA	NA
Net Profit	2399.900	1052.800	1752.300

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Average Collection Days (Sundry Debtors / Income * 365 Days)	3.64	3.11	8.92
Account Receivables Turnover (Income / Sundry Debtors)	100.23	117.31	40.90
Inventory Turnover (Operating Income / Inventories)	7.61	11.00	(9.23)
Asset Turnover (Operating Income / Net Fixed Assets)	0.41	0.45	(0.24)

LEVERAGE RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	1.13	1.32	1.43
Debt Equity Ratio (Total Liability / Networth)	(1.90)	(1.18)	(1.36)
Current Liabilities to Networth (Current Liabilities / Net Worth)	(4.05)	(2.53)	(2.17)
Fixed Assets to Networth (Net Fixed Assets / Networth)	(2.66)	(1.57)	(1.58)
Interest Coverage Ratio (PBIT / Financial Charges)	20.28	7.14	(2.90)

PROFITABILITY RATIOS

PARTICULARS		31.03.2017	31.03.2016	31.03.2015
Net Profit Margin ((PAT / Sales) * 100)	%	6.96	8.84	(13.10)
Return on Total Assets ((PAT / Total Assets) * 100)	%	14.40	15.80	(26.36)
Return on Investment (ROI) ((PAT / Networth) * 100)	%	(70.72)	(43.30)	63.27

SOLVENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Current Ratio (Current Assets / Current Liabilities)	0.33	0.26	0.23
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	0.30	0.23	0.21
G-Score Ratio Financial (Networth / Total Assets)	(0.20)	(0.36)	(0.42)
G-Score Ratio Debt (Debts / Equity Capital)	1.93	2.05	2.46
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	0.33	0.26	0.23

Total Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term debts

STOCK PRICES

Face Value	INR 10.00/-
Market Value	INR 122.00/-

FINANCIAL ANALYSIS

[all figures are in INR Million]

DEBT EQUITY RATIO

Particular	31.03.2015	31.03.2016	31.03.2017
	INR In Million	INR In Million	INR In Million
Share Capital	5994.500	5994.500	5994.500
Reserves & Surplus	(22144.670)	(16383.130)	(12085.430)
Money received against share warrants	5290.890	0.000	0.000
Share Application money pending allotment	0.000	0.000	0.000
Net worth	(10859.280)	(10388.630)	(6090.930)
long-term borrowings	11198.650	9209.220	7759.840
Short term borrowings	1200.000	1050.000	2522.450
Current Maturities of Long term debt	2374.790	2037.350	1272.260
Total borrowings	14773.440	12296.570	11554.550
Debt/Equity ratio	(1.360)	(1.184)	(1.897)

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2015	31.03.2016	31.03.2017
	INR In Million	INR In Million	INR In Million
Sales	52430.650	50880.720	61912.660
		(2.956)	21.682

NET PROFIT MARGIN

Net Profit Margin	31.03.2015	31.03.2016	31.03.2017
	INR In Million	INR In Million	INR In Million
Sales	52430.650	50880.720	61912.660
Profit/ (Loss)	(6870.540)	4497.880	4307.280
	(13.10%)	8.84%	6.96%

LEGAL CASES

CITY CIVIL COURT, CALCUTTA

CASE DETAILS

Case Type: MS
Filing Number: 4366/2015Filing Date: 19-05-2015
Registration No.: 321/2015Registration Date: 19-05-2015
Case Code: 201800043662015

CASE STATUS

First Hearing Date: 19th May 2015
Next Hearing Date: 19th May 2015
Stage of Case: DC Fees
Court No. and Judge: 6-LD JUDGE 6th BENCH

PETITIONER AND ADVOCATE

1 Time Travels Pvt. Ltd.
    Address - 13, Camac Street,Shakespeare Sarani, Kol-17.
    Advocate- Mr. Supriya Ranjan Saha

RESPONDENT AND ADVOCATE

Spicejet Ltd.
    Address - 319, dyog Vihar, Phase-IV, Gurgaon-122-16, Haryana

AC

TS

Under Act(s)	Under Section(s)
Specific Relief Act	---

DISTRICT AND SESSION JUDGE, SOUTH-WEST DWK

CASE DETAILS

Case Type: CS
Filing Number: 7549/2016Filing Date: 08-04-2016
Registration No.: 515672/2016Registration Date: 02-05-2016
CNR NO: DLSW01-000757-2016

CASE STATUS

First Hearing Date: 31st May 2016
Next Hearing Date: 24th August 2016
Stage of Case: Plaintiff/Petitioner Evidence
Court No. and Judge: 502-Additional District Judge

PETITIONER AND ADVOCATE

1) IFFCO TOKIO GENERAL INSURANCE CO. LTD.
    Address - IFFCO SADAN, C1 DISTRICT CENTRE, SAKET NEW DELHI

RESPONDENT AND ADVOCATE

1)SPICEJET LTD.
    Address - 73, MRC NAGAR MAIN ROAD

History of Case Hearing

Registration No.	Judge	Business On Date	Hearing Date	Purpose of hearing
515672/2016	Additional District Judge	31-05-2016	24-08-2016	Plaintiff/Petitioner Evidence

PRINCIPAL DISTRICT MUNSIF COURT, ALANDUR

CASE DETAILS

Case Type: EP
Filing Number: Filing Date: 04-04-2016
Registration No.: 100041/2016Registration Date: 04-04-2016
Case Code:

CASE STATUS

First Hearing Date: 27th June 2016
Next Hearing Date: 27th June 2016
Stage of Case: NOTICE
Court No. and Judge: 1-Principal District Munsif

PETITIONER AND ADVOCATE

1) Tropical Agrosystem India Private Limited
    Address - No.72 Marshalls Road Egmore Chennai 600008
    Advocate- S. Rajasekar

RESPONDENT AND ADVOCATE

1) Spicejet Limited
    Address - No.319 Udyog Vihar Phase IV Gurgaon 122016 Haryana

ACTS

Under Act(s)	Under Section(s)
Code of Civil Procedure	order XXI rule 33 66 CPC

ADDL. CHIEF METROPOLITAN MAGISTRATES, MAYO HALL

CASE DETAILS

Case Type: C.C. - CRIMINAL CASES
Filing Number: Filing Date:
Registration No.: 54848/2016Registration Date: 19-07-2016
Case Code: 

CASE STATUS

First Hearing Date: 06th December 2016
Next Hearing Date: 06th December 2016
Stage of Case: SUMMONS
Court No. and Judge: 75-XIV ADDL. CHIEF METROPOLITAN MAGISTRATE

PETITIONER AND ADVOCATE

1) BANGALORE INTERNATIONAL AIRPORT LIMITED
    Address - ADMINISTRATION BLOCK, KEMPEGOWDA INTERNATIONAL AIRPORT, B-30 REP BY SHRI AKSHAY RAM APTE SENIOR MANAGER - LEGAL

RESPONDENT AND ADVOCATE

1) SPICEJET LIMITED
    Address - MURASOLI MARAN TOWERS, 73, MRC NAGAR MAIN ROAD, MRC NAGAR, CHENNAI 600028, TAMILNADU HAVING ITS CRPORATE OFFICE AT 319, UDYOG VIHAR, PHASE-IV, GURGAON, HARYANA 122016

2) NETRAJHEN SIVASUBRAMANIAN
    WHOLE TIME DIRECTOR, SPICEJET LIMITED, MURASOLI MARAN TOWERS, 73 MRC NAGAR MAIN ROAD, MRC NAGAR, CHENNAI 600028 TAMIL NADU, ALSO AT R/AT NO.5, GIRIPRASAD, LUZ AVENUE, MYLAPORE, CHENNAI 600004, TAMILNADU

3) SANJEEV KAPOOR
    CHIEF OPERATING OFFICER, SPICE JET LIMITED, MURASOLI MARAN TOWERS, 73 MRC NAGAR MAIN ROAD, MRC NAGAR, CHENNAI 600028 TAMILNADU

ACTS

Under Act(s)	Under Section(s)
U/S 138 of N.I Act	200 CR.PC

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check list by info agents	Available in Report (Yes/No)
1	Year of establishment	Yes
2	Constitution of the entity -Incorporation details	Yes
3	Locality of the entity	Yes
4	Premises details	No
5	Buyer visit details	--
6	Contact numbers	Yes
7	Name of the person contacted	Yes
8	Designation of contact person	No
9	Promoter’s background	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
11	Pan Card No. of Proprietor / Partners	No
12	Voter Id Card No. of Proprietor / Partners	No
13	Type of business	Yes
14	Line of Business	Yes
15	Export/import details (if applicable)	No
16	No. of employees	Yes
17	Details of sister concerns	Yes
18	Major suppliers	No
19	Major customers	No
20	Banking Details	Yes
21	Banking facility details	Yes
22	Conduct of the banking account	--
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	Yes
26	Turnover of firm for last three years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	No
29	Profitability for last three years	Yes
30	Major shareholders, if available	Yes
31	External Agency Rating, if available	No
32	Litigations that the firm/promoter involved in	Yes
33	Market information	--
34	Payments terms	No
35	Negative Reporting by Auditors in the Annual Report	No

INDEX OF CHARGES

SNO	SRN	CHARGE ID	CHARGE HOLDER NAME	DATE OF CREATION	DATE OF MODIFICATION	DATE OF SATISFACTION	AMOUNT	ADDRESS
1	G52294774	100129078	YES BANK LIMITED	27/02/2016	-	-	15135000.0	48, NYAYA MARGCHANAKYAPURINEW DELHIDL110021IN
2	B64343536	10312651	EXPORT DEVELOPMENT CANADA	24/08/2011	14/12/2012	-	14684760000.0	150 SLATER STREETOTTAWANAK1A1K3CA
3	G84696830	10283803	YES BANK LIMITED	21/04/2011	07/12/2017	-	7500000000.0	48, NYAYA MARGCHANAKYAPURINEW DELHIDL110021IN
4	B25129321	10281542	YES BANK LIMITED	30/03/2011	19/10/2011	-	2500000000.0	9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA,DR. ANNIE BESANT ROAD, WORLI,MUMBAIMH400018IN
5	B77411213	10141013	ALLAHABAD BANK	28/01/2009	17/05/2013	-	2200000000.0	INDUSTRIAL FINANCE BRANCH, ALLAHABAD BANK BUILDING2ND FLOOR, 37, MUMBAI SAMACHAR MARG, FORTMUMBAIMH400023IN
6	Z00040549	80011521	ICICI BANK LIMITED	19/07/2005	-	-	215000000.0	9A, PHELPS BUILDINGCONNAUGHT PLACENEW DELHIHR122016IN
7	B75071225	80050395	THE BANK OF NEW YORK (THROUGH ITS LOCAL AGENT IL&FS TRUST COMPANY LIMITED)	06/12/2005	22/10/2008	09/05/2013	23060000.0	48TH FLOOR, ONE CANADA SQUARELONDONNAE145ALGB
8	B39894316	10350723	CITY UNION BANK LIMITED	05/03/2012	-	24/05/2012	1000000000.0	67,MANDAVELI STREETMANDAVELICHENNAITN600028IN
9	A95128948	10214100	ALLAHABAD BANK	24/02/2010	-	09/09/2010	90000000.0	INDUSTRIAL FINANCE BRANCH, ALLAHABAD BANK BUILDING2ND FLOOR, M. S. MARGE, FORTMUMBAIMH400023IN
10	A54597802	10096276	SREI INFRASTRUCTURE FINANCE LIMITED	10/03/2008	-	14/01/2009	170000000.0	VISHWAKARMA,86C,TOPSIA ROAD (SOUTH),KOLKATAWB700046IN

UNSECURED LOANS

PARTICULARS	31.03.2017 (INR In Million)	31.03.2016 (INR In Million)
LONG-TERM BORROWINGS
Other loans
External commercial borrowing (Unsecured)	9021.930	11231.850
Vehicle loan from bank	10.170	14.720
Less: Current maturities of long term borrowings	(1272.260)	(2037.350)
Total	7759.840	9209.220

CORPORATE INFORMATION

Subject was incorporated on February 9, 1984 as a limited Company under the Companies Act, 1956 and is listed on the Bombay Stock Exchange Limited (‘BSE’). The Company is engaged principally in the business of providing air transport services for the carriage of passengers and cargo. The Company is a low cost carrier (‘LCC’) operating under the brand name of ‘SpiceJet’ in India since May 23, 2005. The Company operates a fleet of 49 aircraft including 2 aircraft taken on wet lease across various routes in India and abroad as at March 31, 2017. The registered office of the Company is located at Indira Gandhi International Airport, Terminal 1D, New Delhi – 110037

AFFAIRS OF THE COMPANY AND MATERIAL DEVELOPMENT

This was Company’s second year of operation under the new management and post change of control of the Company. During this year, the Company successfully discharged all its legacy obligations to its business partners, implemented cost savings measures by restructuring contracts and its business processes. SpiceJet has placed an order for up to 205 Boeing 737MAX narrow and wide bodied aircraft valued at over USD 22 billion. This order signifies the strategic direction in which the Company is now committed upon and is the biggest order ever placed by any Indian airline with Boeing in its history. This historic order marks the beginning of new growth story, which will see the airline expand its wings – both domestically and internationally.

Further, in order to strengthen its regional connectivity, the Company has placed order for upto 50 Bombardier Q400 aircraft post completion of financial year 2016-17.

The Company has been awarded 6 proposals and 11 routes under the first phase of the Regional Connectivity Scheme (RCS) of Government of India which aimed at making air travel affordable and widespread, enabling inclusive job growth and infrastructure development of all regions and states of India. Out of the 6 proposals awarded to the Company, 4 will cater to unserved markets of Adampur, Kandla, Puducherry and Jaisalmer whereas 2 will be for underserved markets of Porbandar and Kanpur. Currently the Company is the largest and most organized regional player in the country with a fleet of 20 Bombardier Q400 aircraft, which can seat 78 passengers.

The performance of the Company during this financial year was exceptionally well on all operational parameters. The Company achieved the best on-time performance of all airlines in India for the current financial year as well. The Company’s rate of cancellation of flights was one of the lowest in the industry. Its load factor of over 90% for continuous period of 24 months in a row is one of the best globally. As a result of various operational, commercial and financial measures implemented over the last two years, the Company has significantly improved its liquidity position, and generated operating cash flows during that period. The Company has also earned profit after tax of  4,307.28 million for the year ended March 31, 2017.

The Company completed its twelve year of operation on May 23, 2017 wherein it continued to focus on consolidating its operations on key routes. As at the end of the financial year the Company maintained a fleet size to 49 aircraft with which it operated approximately 316 flights per day covering 39 domestic and 7 international destinations.

The Company had in earlier financial years, received amounts aggregating   5,790.9 million from its erstwhile promoters as advance money towards proposed allotment of certain securities (189,091,378 share warrants and 3,750,000 nonconvertible cumulative redeemable preference shares, issuable based on approvals obtained), to be adjusted at the time those securities were to be issued. Pursuant to the legal proceedings in this regard before the Hon’ble High Court of Delhi (“Court”) between the erstwhile promoters, the present promoter and the Company, the Court, in its order dated July 29, 2016, without expressing anything on the merits of the dispute, ordered the Company to deposit the amount of  5,790 million as security with the Court, in five equal monthly instalments, and directed the parties to take necessary steps for the purpose of constitution of an arbitral tribunal.

The Company preferred an appeal against the aforesaid order which was dismissed by Hon’ble Division Bench of the Court (“Division Bench”) on July 3, 2017. However, the Division Bench modified the order of Hon’ble Single Judge by ordering the Company to secure an amount of 3,290 million through a bank guarantee in favour of the Registrar General of the Delhi High Court (“Registrar”), on or before July 31, 2017, and to deposit the balance amount of   2,500 million with the Registrar on or before August 31, 2017. The Company preferred a Special Leave Petition against the order of the Division Bench before the Hon’ble Supreme Court of India (“Supreme Court”). The Supreme Court dismissed the Company’s Special Leave Petition while observing that it assailed an interlocutory order. However, the Supreme Court modified the period within which the bank guarantee and deposit were to be made to the Registrar by two weeks’ respectively from the original deadlines as mentioned above.

The Company has provided guarantee of 3,290 million and deposited  2,500 million respectively with the Registrar on August 14, 2017 and September 14, 2017 and accordingly have complied with the above said orders. Based on their assessment and legal advice obtained, the Company is of the view that any possible consequential effects, including penal consequences and any compounding thereof, does not have a material impact on the financial results of the Company.

MANAGEMENT DISCUSSION AND ANALYSIS

ECONOMY AND PROSPECTS

INDIAN ECONOMY: FASTEST GROWING MAJOR ECONOMY

Indian economy grew at 7.1% in FY 2016-17. Maintaining a strong growth momentum, it remained above 7% mark despite a short term impact created by government’s demonetization of high-value banknotes which subdued growth in fourth quarter of FY 2016-17. The Agriculture, Industrial and Services sectors grew by 4.1%, 5.2% and 8.8% respectively. Following this, India remains the fastest growing major economy in the world.

Several initiatives emphasizing on macroeconomic stability and increased fiscal discipline are making the Indian economy more resilient. Continued policy initiatives, tax reforms, low commodity prices and a stable geo-political environment will all be strong levers for continued strong and sustainable growth.

PROSPECTS, SHORT TERM AND MEDIUM TERM

The medium to long term outlook for India continues to be robust. The economic growth is expected to pick up in FY 2017-18 on the back of improved government spend, better external demand, turnaround in the rural demand and rising urban consumption.

• Implementation of GST is likely to drive tax compliance, improve government finances, lead to higher public spending, and eventually higher GDP growth

• Expectation of normal monsoon for second consecutive year, higher MSPs, higher allocation to MGNREGA and better harvests is likely to lead to improvement in the rural economy

• Government’s focus on pushing up spending in infrastructure and job creation is likely to lead to improved demand conditions across economy

Credit rating agency, Moody’s Investors Service, projects India’s economy to accelerate and grow at 7.5% in FY 2017-18 and 7.7% in FY 2018- 19 with the government successfully curbing the negative impact of demonetization on the economy. The World Bank also expects the Indian economy to grow at 7.2% in FY 2017-18 and gradually gather pace to touch 7.7% by FY 2019-20.

INDIAN AVIATION

India became the world’s fastest growing domestic travel market for the 22nd time in a row, recording a 26.6% year-on-year growth in January 2017, according to the IATA

Indian aviation market registered an impressive annual growth of 22% in domestic passengers and 12% in international passengers during FY 2016- 17. The industry wide load factors remained at a healthy 84% for domestic and 78% for international operations. The year also witnessed the industry matching up with demand as capacity measured in ASKMs (Average Seat Kilometers) grew at 20% and 12% for domestic and international operations respectively.

STRONG FUNDAMENTALS DRIVING AVIATION GROWTH IN INDIA

In year 2016, India, with 100 million domestic flyers, became the third largest market in terms of domestic air passenger traffic behind only the US (719 million) and China (436 million). It acquired the third spot by unseating Japan, which flew 97 million domestic passengers. According to CAPA (Centre for Asia Pacific Aviation), India standing at the joint fourth position in terms of overall air passenger traffic (both domestic and international) along with the UK in 2016, is expected to become the third largest market by March 2018

FACTORS SUPPORTING GROWTH:

• Favorable demographics and large pool of middle class population to fuel demand.

• Geographical advantage of lying at crossroads of important international hubs.

• Economic growth along with the low aircraft penetration, presents a huge opportunity.

• Airports and supplementing infrastructure development will further unlock demand.

INCREASED FOCUS ON AVIATION BY GOVERNMENT OF INDIA

Carrying on with the National Civil Aviation Policy 2016 cleared by the Indian Cabinet in June 2016, the Government maintained its strong thrust on the Aviation sector.

In the FY 2017-18 Union Budget, budgetary allocation increased by a significant 22% to 51,676 million for the next financial year.

SOME OF THE KEY INITIATIVES PROPOSED BY THE GOVERNMENT INCLUDE:

• The construction of 18 Greenfield airports in the country. These would be executed and financed by the respective airport promoters, and are estimated to require an investment of 300,000 million

• The revival of 50 un-served and underserved airstrips in three financial years starting from FY 2017-18 at an estimated cost of 45,000 million

• The commencement of a new Regional Connectivity Scheme called “Ude Desh ka Aam Nagrik” (UDAN) under which fares will be capped at nominal fares to make air travel affordable 2,500 for specified seats for one-hour flight

• Doubling the number of airports in India over the next two to three years to cater to the increasing passenger traffic due to developing regional air travel market

• Developing small airports with frugal facilities, and encouraging private airlines to bid for routes connecting these small airports with existing larger airports, thereby increasing regional air traffic.

LCCS (LOW-COST CARRIERS) WELL POSITIONED TO CAPITALIZE ON REGIONAL DEMAND GROWTH

India’s domestic aviation growth story continues to be led by LCCs, whose market share increased from around 40% in FY 2009-10 to around 68% in FY 2016-17. The Government’s regional connectivity scheme is expected to further boost the LCC’s market share

In FY 2016-17, SpiceJet maintained its market share at last year levels of around 13%.

INPUT COST GRADUALLY TRENDING UPWARDS

Global Crude Oil prices increased in FY 2016- 17 as compared to the FY 2015-16. As a result, domestic ATF price measured by average of prices at metros in India increased about 4.3% in FY 2016-17 compared to a decline of 30% in FY 2015-16. Rupee depreciated almost 2.5%, from an average of around 65 INR/USD during FY 2015-16 to an average of around 67 INR/USD during FY 2016-17. Both these factors adversely impacted the earnings of airlines in FY 2016-17. However, LCCs with their leaner cost structures remained better equipped to face such challenging operating environment

SHORT TERM AND LONG TERM PROSPECTS

India is amongst the fastest growing aviation markets in the world. However, despite the phenomenal growth in the sector, its air travel penetration at 0.9 trips per capita is the lowest amongst developing nations including Brazil, China, Russia and Turkey; reflecting a significant growth potential for the sector.

India’s favorable demographics combined with progressive policy implementation bode well for this growth to sustain. Rising disposable incomes, shift from rail to air, widening route network and regional connectivity scheme is expected to strengthen demand and expand the addressable market further.

These factors combined with the various Government initiatives, some of which have been discussed above give credence to the forecast that domestic India is projected to be fastest growing aviation market growing at 10.7% CAGR (2016-26) and 8.8% CAGR (2016-2036)

FUTURE OUTLOOK FOR SPICEJET

The opportunities in India due to low flyer base, lack of connectivity and the Governments’ impetus to develop airport infrastructure will see unlocking of demand in the next few years. During FY 2016-17, the Company consolidated its operations and is well set for scaling up its operations to tap the opportunity in this high growth environment. During this FY 2017-18, the Company has added 6 aircraft to its fleet and is looking to take its total fleet to 59 aircraft by March 2018. The Company has placed a big aircraft order to provide a long-term direction to its operations and planning. These aircraft, 205 Boeing 737MAX & 50 Bombardier Q400, are scheduled for inductions between 2018 and 2024. The Company (a) in the regional space, has participated in the UDAN scheme for regional connectivity and will further increase its foot print in this space; and (b) in the International space will continue to look to add more routes. The Company is looking at new ventures to increase its ancillary revenues and develop new travel segments. Pricing levels in the industry have firmed up and are reflective of the underlying cost structure. The aforesaid long-term order, coupled with cost reductions will lead to profitable and sustainable operations. With demonstrated profitability, scalability and the forecast demand, increase in SpiceJet’s capacity addition is on track to command a healthy market presence.

In summary, the Company’s management is working on every aspect ranging across revenue maximisation, cost reduction, employee welfare and productivity, customer retention, brand awareness and reputation, etc. in its efforts to create and sustain a world class airline.

INFORMATION TECHNOLOGY

At SpiceJet, information technology (IT) plays a crucial role in providing unmatched services and driving business efficiencies. While the Company has been at the forefront of adopting new technologies, it now intends to become a ‘Digital Airline’. Towards this objective, the Company has adopted comprehensive digital transformation strategy which includes:

“DIGITAL TRANSFORMATION” FOR ENTERPRISE:

Understanding the vital role data plays in the decision making process, the Company focused on building a Datamart, which leverages intelligent insights and trends generated from Business Intelligent dashboards to create meaningful data. This facilitates the Company in taking informed decision to increase revenue, reduce cost, and improve operational efficiency. Pilot performance dashboard is also available for all the pilots to check the performance and work on the improvement areas.

The Company has also worked towards digitizing all crew flight reports. As a result, all reported issues get digitally captured and shared with relevant departments for immediate resolution. IMS (Incident Management System), Spicecare, has been implemented to improve operational efficiency, quick resolution to problems reported and greater visibility. Further to ensure effectiveness of all programs, a Smart Audit App was implemented, which facilitates in capturing the feedback of various departments.

“DIGITAL TRANSFORMATION” FOR EMPLOYEES:

The Company has developed a robust and comprehensive application, SpiceWorld, for empowering its employees. This application is a one stop store and features elements like LMS (Leave Management System), AMS (Attendance Management System), Digital on boarding, official travel booking automation, Idea Portal, Knowledge repository which facilitates in improving employee efficiency.

Going forward, the Company intends to lay more emphasis on Predictive Analysis using data for revenue and engineering. Plans are also in place for implementing advanced software suites for Engineering and Spicestyle to further improve efficiency. The Company intends to re-launch CMS (Cabin Management System) to improve in cabin operations.

STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 31.12.2017

(INR IN MILLION)

(INR In Million)

Particulars	Quarter ended		Period Year ended
	31.12.2017 (Unaudited)	30.09.2017 (Unaudited)	31.12.2017 (Unaudited)
INCOME FROM OPERATIONS
Net Income from Operations	20651.200	17974.500	57187.000
Other Operating Income	168.300	168.500	470.900
Total Income from Operations	20819.500	18143.000	57657.900
Other Income	290.000	241.900	731.200
Total Income	21109.500	18384.900	58389.100
EXPENSES
a) Operating Expenses
- Aircraft Fuel	6309.900	5423.400	17077.000
- Aircraft Lease Rentals	2663.200	2416.200	7388.700
- Airport Charges	1663.800	1554.800	4818.100
- Aircraft Maintenance Costs	2950.500	3053.900	9009.200
-Purchase of Stock-in-trade	0.000	0.000	0.000
-Changes in Inventory of Stock-in-trade	0.000	0.000	0.000
- Other Operating Costs	593.000	609.800	1816.500
Employee Benefits Expenses	2263.500	2136.800	6365.300
Depreciation and Amortization expenses	585.700	574.300	1721.000
Other Expenses	1358.400	1389.800	4323.500
Finance costs	321.600	173.100	664.600
Total Expenses	18709.600	17332.100	53183.900
Profit / (Loss) before exceptional items and tax	2399.900	1052.800	5205.200
Exceptional Items	0.000	0.000	0.000
Profit / (Loss) before Tax	2399.900	1052.800	5205.200
Tax Expense	0.000	0.000	0.000
Profit / (Loss) after Tax	2399.900	1052.800	5205.200
Other Comprehensive Income
Items that will not be reclassified to profit or loss in subsequent periods
Remeasurement gains and (losses) on defined benefit obligations (net)	11.400	(20.200)	(12.400)
Total Comprehensive Income	2411.300	1032.600	5192.800
Net profit for the year attributable to:
-Owners of the company	2399.900	1052.800	5205.200
-Non-controlling interests	0.000	0.000	0.000
Other comprehensive income for the year attributable
-Owners of the company	5192.800	5192.800	5192.800
-Non-controlling interests	0.000	0.000	0.000
Total comprehensive income for the year attributable
-Owners of the company	2411.300	1032.600	5192.800
-Non-controlling interests	0.000	0.000	0.000
Paid-up Equity Share Capital (Face value INR 10/- per share)	5994.500	5994.500	5994.500
Other Equity
Earnings per Share (EPS) - INR
Basic	4.00	1.76	8.68
Diluted	4.00	1.76	8.68

NOTES:

1. SpiceJet Merchandise Private Limited (“SMPL”), SpiceJet Technic Private Limited (“STPL”) and Canvin Real Estate Private Limited (“CREPL”) were incorporated on July 18, 2016, October 5, 2016 and November 16, 2017 respectively, as wholly owned subsidiaries of the Company, each having a paid-up share capital of INR 100,000 (10,000 equity shares of INR 10 each). SMPL, STPL and CREPL are principally engaged in the business of trading of goods; and provision of technological services relating to the aviation, aerospace and defence industry; and real estate businesses, respectively. As permitted by the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“SEBI LODR”) the Company has opted to additionally submit quarterly and year-to-date consolidated results for the current year. The consolidated financial results includes the results of the Company and its subsidiaries SMPL, STPL and CREPL (together, the “group”). The comparative information in respect of the consolidated financial results for the quarter and nine-month period ended December 2016 that have been presented as a result of such option, have been prepared by the management and have not been subjected to limited review. (Also, refer note 9 below).

2. The standalone and consolidated financial results for the quarter and nine-month period ended December 31, 2017 have been reviewed by the Audit Committee in their meeting held on February 06, 2018 and approved by the Board of Directors at their meeting on February 07, 2018. 

3. Based on internal reporting provided to the chief operating decision maker, the standalone financial results relate to “Air transport services” as the only segment of the Company. Consolidated segment information for the group is as follows: 

Particulars	Quarter ended		Period Year ended
	31.12.2017 (Unaudited)	30.09.2017 (Unaudited)	31.12.2017 (Unaudited)
Segment Revenue
Air transport services	20819.500	18143.000	57657.900
Others	24.700	9.900	43.800
Total	20844.200	18152.900	57701.700
Segment Results
Air transport services	2406.700	1049.200	5203.500
Others	(11.800)	(3.900)	(36.600)
Total	2394.900	1045.300	5166.900
Segment Assets
Air transport services	39192.100	36827.400	39192.100
Others	258.000	234.500	258.000
Total	39450.100	37061.900	39450.100
Segment Liabilities
Air transport services	40422.600	40443.700	40422.600
Others	26.400	13.400	26.400
Total	40449.000	40457.100	40449.000

Segment revenue and expenses:

Segment revenue and expenses represent relevant amounts that are either directly attributable to individual segments or are attributable to individual segments on a reasonable basis of allocation.  

Segment assets and liabilities: 

Segment assets and liabilities include all relevant amounts pertaining to a segment, which are directly attributable to individual segments or are attributable to individual segments on a reasonable basis of allocation." 

4. The Company, had in earlier financial years, received amounts aggregating INR 5,790.9 Million from Mr. Kalanithi Maran and M/S KAL Airways Private Limited (“erstwhile promoters”) as advance money towards proposed allotment of certain securities (189,091,378 share warrants and 3,750,000 non-convertible cumulative redeemable preference shares, issuable based on approvals to be obtained), to be adjusted at the time those securities were to be issued. Pursuant to the legal proceedings in this regard before the Hon’ble High Court of Delhi (“Court”) between the erstwhile promoters, the present promoter and the Company, the Court, in its order dated July 29, 2016, without expressing anything on the merits of the dispute, ordered the Company to deposit the amount of INR 5,790 Million as security with the Court, in 5 equal monthly instalments, and directed the parties to take necessary steps for the purpose of constitution of an Arbitral Tribunal. 

5. During the quarter ended September 30, 2017, the Company’s appeal against this order was dismissed by Hon'ble Division Bench of the Court (“Division Bench”). As a consequence, the Company was required to secure an amount of Rs. 3,290 Million through a bank guarantee in favour of the Registrar General of the Delhi High Court (“Registrar”) and to deposit the balance amount of INR 2,500 Million with the Registrar. The Company has complied with these requirements during the previous quarter. 

The parties to the aforementioned litigation have concurrently initiated arbitration proceedings which are ongoing before a 3 member arbitral tribunal. The erstwhile promoters have made various claims against the Company and the present promoter, citing various purported breaches / non-compliances with the terms of the Share Sale & Purchase Agreement (”SSPA”) dated January 29, 2015. The Company and the current promoter have disputed all such claims citing various grounds including non-compliances with the terms of the SSPA by the erstwhile promoters themselves. The arbitration is currently in progress, and the final outcome of the matter is currently not ascertainable. 

In view of the uncertainties involved as explained above, management believes that the manner, timing and other related aspects of adjustment of these amounts, are currently not determinable. The effects of this matter may attract the consequent provisions (including penal provisions) of applicable provisions of law, including deeming provisions, relating to acceptance of deposits. Based on their assessment and legal advice obtained, management is of the view that any possible consequential effects, including penal consequences and any compounding thereof, will not have a material impact on the financial results of the Company. Accordingly, no adjustments have been made for any such consequential penal effects in this regard. 

6. As at December 31, 2017, the Company has total equity of (INR 925.6 Million), including accumulated losses of INR 16,837.8 Million. As of that date, the Company's total liabilities (including INR 5,790.9 million referred to in Note 4 above) exceed its total assets by INR 925.6 Million, as a result of historical market factors and the matter described in Note 4 above. These factors result in a material uncertainty that may cause significant doubt about the Company’s ability to continue as a going concern. 
   
   As a result of various operational, commercial and financial measures implemented over the last two years, the Company has significantly improved its liquidity position, and generated operating cash flows during that period. The Company has also earned profit after tax of INR 4,307.2 million for the year ended March 31, 2017 and INR 5,205.2 million for the nine-month period ended December 31, 2017. In view of the foregoing, and having regard to industry outlook and also management's current assessment of the outcome of the matters stated in Note 4 above, management is of the view that the Company will be able to maintain profitable operations and raise funds as necessary, in order to meet its liabilities as they fall due. Accordingly, these financial results have been prepared on the basis that the Company will continue as a going concern for the foreseeable future. 
7. Having regard to the status of the matters relating to the allotment and conversion of share warrants, as stated in Note 4, it is not possible to determine the dilutive effect, if any, of those on Diluted Earnings Per Share calculations. Accordingly, diluted earnings per share for various periods presented in these financial results do not include the dilutive impact in respect of share warrants stated in Note 4 above. 

8. Exceptional items in respect of the year ended March 31, 2017 pertain to write-back of provision of INR 385.5 Million of vendor claims in arbitration at the time, to the extent management believes such claims are not likely to subsist, based on management's assessment of the dispute, submissions during arbitration, contractual terms and legal advice obtained by the Company. 

9. The Company has paid under protest, amounts aggregating INR 470.3 million representing Integrated Goods and Services Tax (‘IGST’) and Basic Customs duty (‘BCD’), on overseas repairs and replacement of various aircraft equipment, which in the opinion of management and expert advise obtained, is not subject to such levy. Accordingly, these amounts have been considered as recoverable and no further adjustments have been made in this regard as at December 31, 2017. 

10. Previous periods' / year's figures have been regrouped / reclassified wherever considered necessary to conform to current periods' presentation. SMPL, STPL and CREPL were incorporated as wholly owned subsidiaries of the Company on July 18, 2016, October 5, 2016 and November 16, 2017 respectively. Accordingly the figures for the current period are strictly not comparable with those of the previous periods. 

CONTINGENT LIABILITIES:

Particulars	31.03.2017 (INR In Million)	31.03.2016 (INR In Million)
Liability arising out of legal cases filed against the Company in various Courts/ Consumer Redressal Forums, Consumer Courts, disputed by the Company.	128.130	101.200
Liability arising out of Arbitration proceedings on account of cancellation of leased premises.	33.320	33.320
Liability towards Penalty levied by customs department on late payments which is disputed and is pending in the Hon’ble High Court of Delhi.	---	82.690
Demand in respect of provident fund dues for international workers as explained	142.370	77.950
Demand in respect of service tax (including interest and penalty) as explained	170.700	170.700
Liability arising out of other legal cases filed against the Company.	11.830	19.590
Liability arising out of other Arbitration proceedings	196.510	---
Show cause notice received in respect of service tax	3815.740	3776.020

FIXED ASSETS:

TANGIBLE ASSETS:

· Plant and Machinery

· Rotable and Tools

· Office Equipment

· Furniture and Fixture

· Motor Vehicles

· Computer

· Leasehold Improvements

· Software

PRESS RELEASE: [WEB SITE DETAILS]

HIGHER COSTS, LOWER YIELDS WEIGH ON AIRLINES’ PROFITABILITY

08.05.2018

Costlier jet fuel and a weakening rupee are pushing down yields at airlines, driving them towards operating losses in the March quarter despite higher passenger loads

Mumbai: Costlier jet fuel and a weakening rupee are pushing down yields at airlines, driving them towards operating losses in the March quarter despite higher passenger loads.

IndiGo last week reported a net profit of INR 1176.400 million during the quarter, down from INR 4400.000 million ore a year ago due to costlier fuel, lower yields and foreign exchange (forex) loss. Had it not been for finance income of INR 2480.000 million earned from fixed deposits and mutual funds, the airline would have likely reported a loss during the fourth quarter of FY18.

Full service carrier Jet Airways and no-frill carrier SpiceJet, which are expected to report their quarterly results in the coming days, are not expected to fare much better than IndiGo, which is the largest domestic airline in terms of passengers carried.

“Jet Airways’ unit yields are expected to decline 2% year-on-year (Y-o-Y) while unit fuel cost would rise 12% year-on-year (during Q4 FY18),” said Elara Capital’s quarterly preview on India Aviation, a research report, dated 6 April.

“Company’s domestic passenger growth was also lowest at 12% year-on-year during Q4 FY18,” the report added.

According to Indian Oil Corp. Ltd, jet fuel prices rose by more than 19% in the last one year. Jet fuel prices in Delhi stood at INR 61,450 per kilo litre on 1 April 2018, against INR 51,482 a kilo litre a year ago.

According to Elara Capital, SpiceJet is one of the few airlines that likely saw higher yields in Q4 FY18. The Ajay Singh-led low-fare airline has seen yields rising for three consecutive quarters in FY18.

“Our air fares analysis indicates SpiceJet better managed its yields that is expected to improve 7% Y-o-Y, due to its higher exposure in lower demand quartile routes that witnessed less decline in fares driven by seasonal decline in demand,” said Elara Capital’s report. “We expect aviation firms under our coverage (IndiGo, SpiceJet and Jet Airways) to report 14% Y-o-Y decrease in their cumulative PAT due to anticipated flat yields of IndiGo, and 13% Y-o-Y increase in unit fuel cost to Rs1.4/seat-km,” the report added.

However, the depreciation of the rupee is expected to hit SpiceJet and other airlines. Indian carriers not only use dollars to buy and lease aircraft, and pay expat workforce, but also to pay for maintenance work and fuel.

Most airlines have seen high load factor during the January-March 2018 quarter, as several airlines offered discounted tickets to fly more passengers.

Listed airline Jet Airways reported an average load factor of 88.43% during the quarter.

During the same period, IndiGo and SpiceJet reported an average load factor of 91.17% and 95.43% respectively, according to Directorate General of Civil Aviation data.

“At a time when costs are going up, and in the absence of advance bookings, airlines are desperate to get higher load factor, for which they are attracting passengers with lower fares,” said an analyst with an international brokerage tracking the sector.

The analyst mentioned above, who did not want to be named, said current trends are not sustainable in the longer run.

“The price correction could happen in the next one-two quarters,” the analyst added.

SpiceJet and Jet Airways will look to save costs by inducting fuel-efficient Boeing 737 Max aircraft in their fleets.

SpiceJet has placed an order for 205 Boeing 737 Max aircraft, the first of which will be delivered in August 2018. This is expected to bring down operating costs by about 15% for the airline.

Recently, Jet Airways finalized a deal to buy 75 more Boeing 737 Max planes, after ordering 75 similar aircraft in 2015.

“While the management expects operating costs to dip with 15% fuel savings and lower maintenance, it expects ownership costs to fall as deliveries in the initial three years will be under sale and lease back,” said an April Edelweiss report on SpiceJet.

“SpiceJet expects overall 8-9% cost savings from new planes,” the report added.

At a recent post-results analyst call, IndiGo’s senior management told analysts that the current environment—with low yields and high costs—is unsustainable for the industry.

“Yield decline has been seen across all airlines and across both domestic and international segments. Our low-cost structure will help in withstanding the short-term pressures,” said IndiGo’s chief financial officer Rohit Philip, adding yields have been firming up during the last fortnight but it is not clear yet if this will hold up.

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	INR
US Dollar	1	INR 67.08
UK Pound	1	INR 91.14
Euro	1	INR 80.01

INFORMATION DETAILS

Information Gathered by :	SUP
Analysis Done by :	PRY
Report Prepared by :	RUP

SCORE FACTORS

DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	YES
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
NT	No Trace	No recommendation can be done as the business is not traceable

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors are as follows:

· Financial condition covering various ratios

· Company background and operations size

· Promoters / Management background

· Payment record

· Litigation against the subject

· Industry scenario / competitor analysis

· Supplier / Customer / Banker review (wherever available)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.