Budget carrier IndiGo has further reduced its capacity guidance for FY20 due to Airbus A320 Neo engine troubles, the airline told investors on Wednesday.
The Gurugram-based carrier said its capacity would grow at 22-23% year-on-year in FY20 from 25% announced in October 2019. At the beginning of the financial year, the largest domestic carrier had planned to grow at 30% y-o-y on the back of rapid aircraft addition from plane manufacturer Airbus SE.
In a presentation uploaded on the Bombay Stock Exchange, IndiGo said that directorate general of civil aviation’s (DGCA) order to ground each aircraft with unmodified engine for every addition of Neo plane with modified engines will have an impact on the capacity growth.
