IndiGo Airlines reported a steep 78% decline in net profit for the third quarter, with earnings falling to Rs. 549.1 crore. The sharp drop was primarily driven by escalating fuel costs, currency volatility, and higher operational expenses, which offset revenue gains from passenger traffic recovery. While domestic load factors improved, margins came under severe pressure, highlighting the vulnerability of airlines to external cost shocks. Analysts caution that sustaining profitability will require disciplined capacity management, hedging strategies, and cost containment.