Spicejet Limited · BSE:SPICEJET
Spicejet — Investor Presentation (September 2024)
31 slides from Spicejet's investor presentation, September 2024
Slide 1: Corporate Presentation September 2024
SpiceJet Proprietary Corporate Presentation September 2024 1
Slide 2: Disclaimer
SpiceJet Proprietary Disclaimer This presentation has been prepared for general information purposes in respect of SpiceJet Limited (“Company”) together with its subsidiary and associate, as applicable ( together, with the Company, the “Group”) only, without regard to any specific objectives, suitab
Slide 3: Agenda
SpiceJet Proprietary 01 SpiceJet: At a Glance Agenda 02 Key Business Highlights 03 What went wrong 04 Future Strategies 3
Slide 4: SpiceJet at a Glance
SpiceJet Proprietary SpiceJet at a Glance 4
Slide 5: SpiceJet: Company Snapshot
SpiceJet Proprietary SpiceJet: Company Snapshot Low Cost Carrier Airline with with Differentiated Dedicated Cargo & Poised for Higher Offerings Logistics Service Growth Established Track 92.3% 19 2nd Highest Domestic PLF% in Record Years of Experience Largest Airline in 2014 FY24 across Industry 34
Slide 6: Delivered Resilient Results Despite Multiple Challenges
SpiceJet Proprietary Delivered Resilient Results Despite Multiple Challenges Share Price Performance Since 2015 200 SpiceJet Revival Revenue Revival COVID-19 Revival 150 Raised Rs.1,060 Cr Mr. Ajay Singh (Issue Size) 100 Acquired 50 Boeing 737 Max Crisis COVID-19 Setback 0 01-Jan-15 16-Nov-15 30-Sep
Slide 7: Key Milestones
SpiceJet Proprietary Key Milestones 01 2005 2008 2011 2017 • First Order: 10 • Re-financing of • Inducted Q 400's 2017 • Order of 155 Boeing B737-800 Aircraft FCCBs by Wilbur (72 seats) for 737-8 Max Aircraft • Largest order of 155 • First Flight: 23rd Ross Regional • Order for 25 Q400s Boeing 737-8
Slide 8: Key Milestones
SpiceJet Proprietary Key Milestones 02 2019 2023 • Codeshare • Received IATA Agreement Signed Safety Certification with Emirates • SpiceXpress Hived • Inducted B737 off into a Separate Aircraft of Jet Entity Airways 2018 2021 2024 • Launched • Raised Capital • Introduced Loyalty SpiceCargo to throug
Slide 9: Key Business Highlights
SpiceJet Proprietary Key Business Highlights 9
Slide 10: SpiceJet - Positioned for Promising Growth
SpiceJet Proprietary SpiceJet - Positioned for Promising Growth Indian Aviation Industry Poised for Significant Extensive Presence in Slot Growth backed by Constrained Airports. Demand-Supply Mismatch Substantial Growth in Consistently Highest Fleet Count Expected Occupancy and RASK with the Ungroun
Slide 11: Fleet Size and Status - Substantial Growth of Fleet Size
SpiceJet Proprietary Fleet Size and Status- Substantial Growth of Over 100% in Fleet Count with Ungrounding Fleet Size Grew by ~3x Post Change of Control 94 74 7 80 59 65 49 2 31 1 23 43 4 27 23 41 35 30 8 2 22 28 17 7 12 13 45 56 57 8 10 8 30 33 41 26 6 5 18 22 19 15 FY15 FY16 FY17 FY18 FY19 FY20 F
Slide 12: Extensive Presence Across Domestic & International Routes
SpiceJet Proprietary Extensive Presence Across Domestic & International Routes Unique Mix of Domestic and International Routes with Premium Slots 34 Domestic Destinations; 61% Share in PAX Revenue 04 International Destination; 39% Share in PAX Revenue 03 Key International Destinations with Capped Se
Slide 13: Additional Traffic Rights for 17 International Destinations
SpiceJet Proprietary Additional Traffic Rights for 17 International Destinations Russia Moscow/St.Petersburg Heathrow London Bahrain Hong Kong Bangladesh Abu Dhabi Kazakhstan Sharjah India Uzbekistan Italy Oman China Myanmar Mandalay/Yangon Sri Lanka Columbo Afghanistan Nepal Kathmandu Iraq Map not
Slide 14: Focus on Profitable and Exclusive Routes Under RCS
SpiceJet Proprietary Focus on Profitable Access to Key and Exclusive Routes Under RCS Leveraging Regional Routes Under the Regional Connectivity Scheme with a 24 Fleet of Q400 29 RCS Destinations - 27 Domestic & 02 International Domestic Traffic by Route Category, FY2017 - FY2024 160 153.4 153.4 137
Slide 15: Differentiated Product Offerings
SpiceJet Proprietary Differentiated Product Offerings A one-of-a-kind premium Our industry-first offering service equivalent to of entertainment, travel Premium Economy, which As one of the first LCCs to services and mid-air cab Loyalty programme and co- offers priority services, offer hot meals, Sp
Slide 16: Highest PLF% and RASK across Industry
SpiceJet Proprietary Highest PLF% and RASK across Industry Highest Domestic PLF of 92.3% in FY24 Across the Industry Highest Passenger RASK amongst all Budget Airlines 6 2016 2020 2023 92.3% 86.8% 86.2% 5 4 3 2 1 0 SpiceJet Indigo Air India SpiceJet Peer 1 Peer 2 Peer 3 Peer 4 Peer 1 Peer 2 Peer 1 P
Slide 17: Awards and Recognition
SpiceJet Proprietary Awards and Recognition Best Domestic Airline Award - Wings India Awards for Excellence in the Aviation Best Domestic Airline Awards 2018 - 11th ASSOCHAM International Civil Aviation Conference & Awards Best Airline 2018 Operating Under the Government’s Regional Connectivity Sche
Slide 18: Multiple Renowned Airlines Rely on Us for Their Security Services
SpiceJet Proprietary Multiple Renowned Airlines Rely on Us for Their Security Services American Airlines Lufthansa British Airways Air France KLM Qatar Airways Swiss Airlines Virgin Atlantic FedEx Air Canada UPS Malindo Airways DHL China Air Cargo Oman Air Turkish Airlines Thai Airways Malaysia Air
Slide 19: Backed by Experienced Management
SpiceJet Proprietary Backed by Experienced Management Arun Bansal Ashish Vikram Head of Engineering and Chief Technology & Innovation Maintenance Officer • 38 Years of Experience • 35 Years of Experience • Ex CEO - Air India Engineering • 5 Years with SpiceJet Services Ltd Chandan Sand Head- Legal,
Slide 20: With Demonstrated Ability to Manage Crises
SpiceJet Proprietary With Demonstrated Ability to Manage Crises Worldwide Post 2015 Grounding of COVID-19 Crisis Post-COVID Era Turnaround Max Aircraft • Induction of aircraft • Emergence of • Cost rationalization on Wet lease SpiceXpress - Cargo • Swift Induction of • Aircraft on Wet lease business
Slide 21: Indian Aviation Industry Poised for Significant Growth
SpiceJet Proprietary Indian Aviation Industry Poised for Significant Growth Industry Ready for Next Leap Well Positioned to Tap into the Massive Opportunity Recovery in Passenger Traffic Has Been Strong and has India is the 3rd Largest Aviation Market Globally, but is Potential International-to-Inte
Slide 22: Industry Growth Drivers
SpiceJet Proprietary Industry Growth Drivers Expanding Indian carrier networks and Under-penetration traffic stimulation by Growth supported of air travel in nonstop services by low LCC airfares India and airport capacity and policy initiatives Air travel growth Increasing Domestic and Shift from ra
Slide 23: Backed by Government Initiatives
SpiceJet Proprietary Backed by Government Initiatives Increasing Govt. Focus & Favourable Govt Rapid Growth of Players Investing Policies Infrastructure Aggressively • Govt focus on strengthening the aviation sector • India has 179 airports as of • 100% FDI allowed under March 2024, up from 138 in A
Slide 24: What Went Wrong
SpiceJet Proprietary What Went Wrong 24
Slide 25: Navigating Through Multiple Challenges
SpiceJet Proprietary Navigating Through Multiple Challenges Borne Out of Externalities Grounding of • Worldwide grounding of Boeing 737 Max aircraft in Mar 2019 Max Aircraft • No access to fuel efficient aircraft and absence of SLB gain COVID-19 • Complete halt of passenger traffic in CY20 and sever
Slide 26: Current Problems
SpiceJet Proprietary Current Problems • Operational Fleet Reduced from 74 in 2019 to 28 in 2024 Depleting Fleet • 36 Aircraft Grounded on Account of Dues and Fund Issues • Higher Costs of Working Capital Higher Costs • Escalating Fixed Costs • Fixed Rentals at Airports • ~Rs.3,700 Cr Outstanding Les
Slide 27: Roadmap to Resolving Hurdles
SpiceJet Proprietary Roadmap to Resolving Hurdles Utilization Plan to Raise Rs.2,500* Cr through QIP and Fleet Ungrounding Liability Settlement Rs.736 Cr through Previous Warrants and New Fleet Induction Other General Purposes Promoter Infusion *Subject to shareholders approval A PANACEA Liability S
Slide 28: Future Strategies
SpiceJet Proprietary Future Strategies 28
Slide 29: Well-Defined Strategy to Turnaround and Ramp Up
SpiceJet Proprietary Well-Defined Strategy to Turnaround and Ramp Up Ungrounding and Enhanced Long-Haul Cost Focus on Focus on Focus on Loyalty Expansion of Presence in Operations to Rationalisation Ancillary Revenue Cargo Programmes & Fleets Highly Profitable Europe & North Co-Branded Routes Americ
Slide 30: Value Creation Opportunities: Subsidiaries of SpiceJet
SpiceJet Proprietary Value Creation Opportunities: Subsidiaries of SpiceJet SpiceXpress • Serves over 2,000 corporate clients, operates 6,000 flights monthly, and covers 16,000 postal codes with 126 warehouses • Achieved significant revenue growth, reaching USD 256.68 million in FY2022, with positiv
Slide 31: Thank You!
SpiceJet Proprietary Thank You!