SpiceJet has received a Memorandum of Understanding (MoU) for the induction of 10 aircraft, marking another important step in the airline's ongoing capacity expansion and network rebuilding efforts. The development represents a significant milestone in the carrier's recovery strategy as it works to strengthen its operational footprint.

Fleet Expansion Strategy

The MoU follows the Board's approval, announced last week, for a calibrated ramp-up of the fleet to 60 aircraft through a mix of wet and damp leases, along with the phased return to service of existing grounded aircraft. This strategic approach combines fleet restoration with selective capacity additions as the airline pursues sustainable growth.

Capacity Performance and Targets

SpiceJet's recovery has gathered significant pace in recent months. The airline doubled its capacity in the last quarter, with Available Seat Kilometres (ASKMs) rising from around 55 crore to 105 crore, reflecting a sharp increase in network strength.

Building on this momentum, SpiceJet plans to more than double its capacity during the year, targeting 225 crore Available Seat Kilometres by Winter 2026, while operating over 300 daily flights across its network.

Strategic Focus Areas

The expansion is aimed at strengthening connectivity, improving operational reliability and meeting strong passenger demand, while maintaining a disciplined and sustainable approach to growth. Debojo Maharshi, Chief Business Officer, SpiceJet, emphasized the significance of the capacity growth: "Doubling our capacity in the last quarter has been a significant milestone, and the plans we have in place to more than double it further this year reflect growing confidence in the business and strong demand across the network."

Key strategic priorities include:

• Restoring operational capacity
• Strengthening network connectivity
• Improving service reliability for passengers
• Maintaining measured growth approach

Network Rebuilding Approach

SpiceJet will continue to pursue a balanced growth strategy, combining fleet restoration and selective capacity additions, as it works towards strengthening its network and long-term sustainability. The receipt of the MoU represents an encouraging development as the airline continues to rebuild and expand its operations in a measured manner.

The airline operates a fleet of Boeing 737s and Q-400s and is one of the country's largest regional players operating multiple daily flights under UDAN or the Regional Connectivity Scheme. The majority of SpiceJet's fleet offers SpiceMax, the most spacious economy-class seating in India.

SpiceJet Limited announced its third quarter financial results for the period ended December 31, 2025, demonstrating significant operational improvements and revenue growth. The Board of Directors approved the unaudited standalone and consolidated financial results at their meeting held on February 12, 2026.

Strong Financial Performance

The airline reported substantial improvement across key financial metrics during the third quarter. Revenue from operations increased dramatically to ₹1,384.31 crore in Q3FY26 compared to ₹781.22 crore in Q2FY26, representing a remarkable 77% quarter-on-quarter growth.

Operational Excellence and Market Share Growth

SpiceJet's operational performance showed marked improvement during the quarter. The airline maintained a healthy Passenger Load Factor of 90%, demonstrating strong capacity utilization compared to 84% in Q2FY26. Domestic market share strengthened significantly to 4.3% in December 2025 from 1.9% in September 2025.

Fleet Expansion and Network Growth

The company inducted 16 aircraft (Boeing NG and Boeing 737 Max) on wet lease during the quarter, significantly strengthening its operational capability. The Board has approved a calibrated fleet ramp-up to 55-60 aircraft for the winter schedule through a mix of wet and damp leases.

SpiceJet expanded its network reach by commencing non-stop services to Najaf, Iraq, becoming the only Indian airline to operate direct flights to the holy city. The airline also launched services on the Ahmedabad-Sharjah route and added Imphal to its network with daily connectivity from Kolkata, Guwahati and Mumbai.

Balance Sheet Strengthening Initiatives

As part of ongoing balance sheet repair, SpiceJet completed equity allotment to aircraft lessors, settling ₹476 crore (USD 54 million) worth of liabilities. The company allotted 11,25,06,725 equity shares at ₹42.32 per share to various aircraft leasing entities including Carlyle Aviation Partners and GASL Aviation Holdings.

Regulatory Compliance and Going Concern

The financial results highlighted ongoing regulatory compliance challenges, with delays in TDS deposits and GST filings. The auditors issued a qualified opinion noting material uncertainties regarding the company's ability to continue as a going concern, citing accumulated losses of ₹89,053.73 million and current liabilities exceeding current assets by ₹42,139.31 million.

Despite these challenges, management expressed confidence in the company's recovery trajectory, citing improved operations, fleet expansion, and ongoing discussions with vendors and lessors for liability settlements.