New Delhi, Oct. 29 -- IndiGo beat analyst estimates in the seasonally weaker September quarter as higher ticket prices boosted revenue and helped narrow losses. But a steep rise in fuel costs continued to weigh on its bottomline, underscoring the challenge facing India's largest airline.

InterGlobe Aviation, which operates IndiGo, posted a 26% increase in revenue to Rs.23,364 crore in the July-September quarter, helped by stronger fares. Net loss narrowed to Rs.1,879 crore.

Still, much of that improvement was offset by a soaring fuel bill. Fuel expenses jumped 67% to nearly Rs.10,000 crore as global energy prices rose. Stripping out currency fluctuations, IndiGo lost Rs.724 crore in the July-September period, compared to a Rs.104 crore ...