IFRS 16 / Ind AS 116 – Leases (Right-of-Use Asset)
Para 24 – At the commencement date, the lessee shall measure the right-of-use asset at cost, comprising:
(a) the amount of the lease liability;
(b) lease payments made at or before the commencement date;
(c) initial direct costs; and
(d) estimated dismantling / restoration costs.
Other unrelated pre-operating expenditures cannot be added to the ROU asset.
Any idea what’s comprises of this defered expenses.. most of the expenses are allowed but training cost of pilot or salary / admin cost needs to be expense off
Finally the 3rd Dryleaseflight is in Delhi
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I see no credit rating for the company. Is it a cause for concern? Did the management say anything about it?
Afcom does have it, just that the company refused to accept it.
I think it’s wise they did so, BB+ could dent their chances of leasing aircrafts.
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Perfect timing ! They’ve managed a BBB+ rating from another agency.
30089-RR-20260108.pdf (174.5 KB)
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InterGlobe had a ₹1,000 crore loss due to forex impact from the rupee’s depreciation. Since most aircraft leases in aviation are dollar-denominated, this risk is hard to avoid.
Will Afcom face similar issues? I’m not fully clear on this and would appreciate some insights
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Afcom’s case is different. InterGlobe earns majority of the revenue in rupee terms but its expenses (lease + fuel) are in dollar terms hence it will affect more if rupee depreciates. But in case of afcom, it earns in dollar (export services) and hence it should benefit if dollar is appreciating or rupee depreciating.
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Q3 results looks better than expected to me. I assumed Q3 to be very similar to Q2. But looks like something is getting better. It could be utilization/pricing or just currency effect. Will wait for the IP for more insights.
MRO is a positive news. Let’s see how markets takes it.
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MRO is a surprise move. If they decide to onboard 3rd party customers that’ll be additional revenue, on top of the savings made on maintenance of their own planes.
Just with 2 planes,.their revenue and profit is blasting.. I don’t think the 3rd plane is still in operation. It was came last month yet it’s not functional. Any idea about what’s going on 3rd and 4th plane?
