New Delhi, May 29 -- A sharp fall in the rupee against the dollar, along with weak demand, hurt IndiGo's financial performance as the country's largest airline swung to losses, a first after it reported a loss in FY23.

On Friday, InterGlobe Enterprises Ltd, which runs IndiGo, reported a Rs.2,393.6 crore loss in the year ended March, compared with a Rs.7,258 crore profit in the previous year. IndiGo attributed the losses to the 11% depreciation of the rupee against the dollar.

As IndiGo's leased liabilities are dollar-denominated, a falling rupee hurts the airline's profitability.

The financial pain extended beyond forex with IndiGo's capacity expanding 9.5% even as passenger traffic grew just 7.5%, pushing load factors down to 84.4% fr...