Shares of SpiceJet widened its net loss on Thursday, a day after reporting its financial results for the April-June 2022 quarter, as the company’s shares widened on high oil prices, a weaker rupee and a one-time foreign exchange loss.

SpiceJet shares were down more than 14% in morning trade, and 6.3% at Rs 43.45 on the BSE at 9.27 am. While the stock has risen more than 7% in the past month, it has wiped out more than 36% of investor wealth in 2022 (year-to-date), compared with the benchmark Sensex’s gain of 0.6% over the same period.

The stock was in turmoil after the budget airline posted a net loss of Rs 789 crore in the June quarter of FY23, including a one-off foreign exchange loss of Rs 369 crore. The airline posted a net loss of Rs 729 crore in the quarter that ended June FY22.

This was the case even as SpiceJet’s revenue rose 126% year-on-year to Rs 2,457 crore. The company’s revenue rose 32% sequentially.

This was the case even as SpiceJet’s revenue rose 126% year-on-year to Rs 2,457 crore. The company’s revenue rose 32% sequentially.

Ajay Singh, Chairman and MD of the airline, said it was the toughest operating environment recently as jet fuel prices hit record highs and the rupee depreciation is the main issue.

The crisis-hit airline also delayed paying employees for the second month. However, SpiceJet said it had started calculating wages from Wednesday and, like last month, “wages will be calculated in a tiered format”.

SpiceJet announced the results on the same day its Chief Financial Officer, Sanjeev Taneja, resigned. The company said its board had identified a candidate for the CFO position, which will be filled this month.

According to the company, the three-month average aviation turbine fuel (ATF) price rose 105% year-on-year and 40% month-on-month.

The airline plans to raise $200 million amid the financial turmoil, or about Rs 1,600 crore at current exchange rates. It expects to complete the spin-off of its profitable cargo business into a separate company this quarter.

“The board of directors has authorised a new capital offering, and the company will soon work with investment bankers to potentially raise as much as $200 million,” the company said in its regulatory filing.

However, the airline added that several conditions indicated “significant uncertainties that could cast significant doubt on the company’s ability to continue as a going concern”.

Meanwhile, on Wednesday, aviation regulator the Directorate General of Civil Aviation (DGCA) cancelled the registration of two more of SpiceJet’s Boeing 737 planes after failing to pay lessors. With the latest write-offs, a total of six budget airline Boeing 737s were written off in August.