(Reuters) – Indian airline IndiGo plans to significantly increase the number of seats it allocates for international flights by fiscal year 2030 to secure greater market share, it said on Wednesday.
The no-frills airline expects to increase its international capacity share, or the proportion of its total available seat kilometers for international routes, to 40% from 28% currently, it said in an investor presentation.
The airline reached its current capacity share in seven years, from 14% in fiscal year 2018.
The airline currently flies to 40 international destinations, and has about 19% share of India’s international flight market, according to the latest data from the country’s aviation regulator.
Shares of the company were up 4.2% following the announcement.
IndiGo’s push beyond the domestic market, where it commands a nearly 60% share, comes at a time when Indian carriers are racing to keep pace with surging demand for both domestic and international air travel, despite aircraft supply constraints.
The company had in January said it plans to boost its international operations, which currently account for about 10% of revenue according to its December-quarter update.
Last month, IndiGo announced plans to lease a Boeing 787-9 Dreamliner widebody jet from Norse Atlantic Airways as part of its efforts to tap into long-haul routes.
IndiGo also plans to add business class seats to its Airbus A321XLR and A350 aircraft to boost revenue, a business class tickets cost roughly thrice as much as economy class.
IndiGo introduced business class seats late last year on some domestic routes, its first departure from an all-economy cabin, and is aiming to capitalise on the growing demand for premium travel among Indians.
The airline also reaffirmed its goal of increasing its aircraft fleet to over 600 by 2030 from about 437 currently.
(Reporting by Meenakshi Maidas in Bengaluru; Editing by Varun H K)
