Parent of IndiGo, InterGlobe Aviation, shares slide off, erasing more than ₹37,000 crore in Market value in less than a week, as operational turbulence ruffled investor confidence. The stock crashed as much as 10% to ₹4,842 during intraday trade, becoming its seventh consecutive session of losses.
InterGlobe shares have dropped 16.4% over the past six trading days, highlighting rising concerns about the airline’s handling of revised Flight Duty Time Limitations (FDTL) and the descending impact on costs and earnings.
The slide-off has created the most disruptive situation in Indian aviation, with IndiGo struggling to realign crew schedules to the new FDTL norms. A massive shortage of pilots has driven the widespread flight cancellations, resulting in over 1000 flights being cancelled in a day, around half of the airline’s daily operations, stranding thousands of passengers across the major airports.
IndiGo, which commands nearly 66% of India’s domestic aviation market, has recognised that planning a bridge to adapt to the new norms, which cap pilot hours, ban night landings, and require longer weekly rest periods, is essential.
The turmoil has reinforced the brokerage’s decision to set target prices. UBS maintained a purchase rating on InterGlobe Aviation but lowered its target to ₹6,350, citing insufficient preparedness for the FDTL rollout and higher cost estimates for FY26-FY28.
The brokerage also noted the need for more crew members and higher operating costs due to the weakening rupee.
Earlier this year, IndiGo planned to buy another 30 A350 aircraft from Airbus, bringing its total to 60. To expand its international network, it will operate flights to 10 new overseas cities with leased Boeing 787 planes in the current fiscal year ending March 2026.
