How the IndiGo Business Model Sells Seats and Extras
How a passenger airline earns from seats and ancillary services.
Key Takeaways
- FY26 revenue from operations was ₹84,961.9 crore, up 5.1% on FY25.
- It carried 123.4 million passengers in FY26 and had 441 aircraft at 31 March 2026.
- Aircraft fuel expenses were ₹25,389.2 crore in FY26, down 3.1% from FY25.
- Q2 FY27 revenue from operations was ₹23,363.8 crore and the net loss ₹1,879.1 crore.
Table of Contents 11 sections
- IndiGo at a glance
- What IndiGo does
- How IndiGo makes money
- IndiGo's Business Model Canvas
- IndiGo revenue and expenses over two years
- IndiGo results in the latest quarters
- IndiGo's journey so far
- IndiGo market share and rivals
- Fuel, traffic and loss in the latest results
- Conclusion on the IndiGo business model
- FAQs
The IndiGo business model rests on selling seats on scheduled flights and selling services on top of the ticket. IndiGo is the airline run by InterGlobe Aviation Limited, which lists its results every quarter on the stock exchanges.
In FY26, the year ended 31 March 2026, revenue from operations was ₹84,961.9 crore and the company reported a net loss of ₹2,393.6 crore. In Q2 FY27, the quarter ended 30 September 2026, revenue from operations was ₹23,363.8 crore and the net loss was ₹1,879.1 crore.
IndiGo at a glance
| What it does | Passenger airline run by InterGlobe Aviation Limited |
|---|---|
| Operations began | August 2006 |
| Listing | NSE and BSE, symbol INDIGO; shares listed on 10 November 2015 against an issue price of ₹765 |
| FY26 revenue from operations | ₹84,961.9 crore |
| FY26 total income | ₹89,513.4 crore |
| FY26 net loss | ₹2,393.6 crore |
| Passengers in FY26 | 123.4 million |
| Fleet | 441 aircraft at 31 March 2026 and 442 aircraft at 30 September 2026 |
| Network | 97 domestic and 36 international destinations in the quarter ended 30 September 2026 |
| Domestic market share | 65.4% in September 2026 |
| Latest quarter (Q2 FY27) | Revenue from operations ₹23,363.8 crore, net loss ₹1,879.1 crore |
What IndiGo does
IndiGo flies passengers on scheduled routes. It carried 123.4 million passengers in FY26, up 4.0% from 118.6 million in FY25, and had 441 aircraft at 31 March 2026. By 30 September 2026 the fleet stood at 442 aircraft.
How IndiGo makes money
The IndiGo revenue model has two main lines in its revenue from operations, passenger ticket revenue and ancillary revenue. Revenue from operations in the quarter ended 31 March 2026 (Q4 FY26) was ₹22,438.4 crore.
The company reports other income separately. In FY26 it was ₹4,551.5 crore, up 38.1%, and it sits outside revenue from operations. Revenue from operations for the full year was ₹84,961.9 crore, up 5.1% from ₹80,802.9 crore in FY25.
Load factor is the share of available seat kilometres that were filled. IndiGo's FY26 load factor was 84.4%, against 86.0% in FY25.
IndiGo's Business Model Canvas
IndiGo revenue and expenses over two years
FY26 total income was ₹89,513.4 crore, against ₹84,098.2 crore in FY25. Total expenses were ₹89,677.5 crore, against ₹76,504.8 crore. The FY26 consolidated net loss was ₹2,393.6 crore, while FY25 had a net profit of ₹7,258.4 crore.
IndiGo results in the latest quarters
In Q1 FY27, the quarter ended 30 June 2026, the net loss was ₹238 crore on revenue from operations of ₹24,584.1 crore, and fuel expenses were ₹10,832.9 crore, up 86% year on year.
In Q2 FY27, revenue from operations was ₹23,363.8 crore, up 25.9% from ₹18,555.3 crore in Q2 FY26. Fuel expenses were ₹9,966.8 crore, up 67.2% from ₹5,961.8 crore. Passengers were 27.5 million, down 4.7%, capacity was 40.8 billion available seat kilometres, down 1.0%, and the load factor was 80.3%, down 2.2 percentage points. The results were announced on 29 October 2026.
IndiGo's journey so far
| When | What happened |
|---|---|
| August 2006 | IndiGo begins flying |
| November 2015 | InterGlobe Aviation shares list on 10 November, issue price ₹765 |
| December 2025 | Flight cancellations and disruptions across the network |
| March 2026 | William Walsh named CEO on 31 March |
| July 2026 | Q1 FY27 results show a net loss of ₹238 crore |
| October 2026 | Q2 FY27 results show a net loss of ₹1,879.1 crore |
IndiGo market share and rivals
In September 2026 IndiGo carried 77.30 lakh domestic passengers, a 65.4% share. Air India Group carried 31.65 lakh passengers, a 26.8% share, and Akasa Air carried 6.64 lakh, a 5.6% share.
Fuel, traffic and loss in the latest results
Fuel expenses in Q2 FY27 were 67.2% higher than a year earlier, passengers were down 4.7%, and the load factor was 80.3%. The FY26 net loss was ₹2,393.6 crore, against a FY25 net profit of ₹7,258.4 crore.
Conclusion on the IndiGo business model
IndiGo sells airline seats and ancillary services. It flew 123.4 million passengers in FY26 with 441 aircraft at year end.
In FY26 it reported revenue from operations of ₹84,961.9 crore and a net loss of ₹2,393.6 crore. In Q2 FY27 it reported revenue from operations of ₹23,363.8 crore and a net loss of ₹1,879.1 crore.
