Credit Rating- Others

June 30, 2026 IGAL/SECT/6-26/12 To To National Stock Exchange of India Limited Department of Corporate Services Exchange Plaza, C - 1, Block G BSE Limited Bandra Kurla Complex Phiroze Jeejeebhoy Towers Bandra - (E) Dalal Street Mumbai - 400 051 Mumbai - 400 001 Symbol: INDIGO Scrip Code: 539448 Subject: Disclosure under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 – Credit Rating Dear Sir/ Madam, This is to inform that CRISIL Ratings Limited (“CRISIL”) vide its letter dated June 29, 2026, has continued its ratings on the bank facilities of the Company on ‘Watch with Developing Implications’, as detailed below: Crisil AA-/Watch Developing (Continues on 'Rating Watch with Long Term Rating Developing Implications') Crisil A1+/Watch Developing (Continues on 'Rating Watch with Short Term Rating Developing Implications') The rating rationale issued by CRISIL is enclosed for reference. We request you to please take the same on record. Thanking you, For InterGlobe Aviation Limited Neerja Sharma Company Secretary and Chief Compliance Officer Encl: a/a InterGlobe Aviation Limited Registered Office: Upper Ground Floor, Thapar House, Gate No. 2, Western Wing, 124 Janpath, New Delhi – 110 001, India. M +91 9650098905, F + 91 11 43513200 Email: corporate@goindigo.in Corporate Office: Emaar Capital Tower-II, Sector-26, Sikanderpur Ghosi, MG Road, Gurugram-122002, Haryana, India. T +91 124 435 2500. CIN no.: L62100DL2004PLC12976 Rating Rationale June 29, 2026 | Mumbai InterGlobe Aviation Limited Ratings continues on 'Watch Developing' Rating Action Regulator Of Total Bank Loan Facilities Rated Rs.9000 Crore Instrument Crisil AA-/Watch Developing (Continues on 'Rating Long Term Rating RBI Watch with Developing Implications') Crisil A1+/Watch Developing (Continues on 'Rating Short Term Rating RBI Watch with Developing Implications') Note: None of the Directors on Crisil Ratings Limited’s Board are members of rating committee and thus do not participate in discussion or assignment of any ratings. The Board of Directors also does not discuss any ratings at its meetings. 1 crore = 10 million Refer to Annexure for Details of Instruments & Bank Facilities Detailed Rationale Crisil Ratings has continued its ratings on the bank facilities of InterGlobe Aviation Limited (IndiGo) on ‘Rating Watch with Developing Implications’. Crisil Ratings had placed the ratings on watch following the West Asia conflict, the impact of which on the business and financial risk profiles of IndiGo over the near to medium term was unascertainable. The ongoing conflict had led to the cancellation of a substantial portion of overseas flights to or through West Asia, including the Commonwealth of Independent States (CIS) countries and Europe, of which, two-thirds are back in operation. Furthermore, the conflict had driven up global crude prices substantially to $110 per barrel. The price has now eased to below $80 per barrel on the expectation of return to normalcy, which remains monitorable. The significant impact on aviation turbine fuel (ATF) prices, typically constituting 35–40% of IndiGo's total operating cost, could potentially alter the earlier estimates for IndiGo's operating profitability and debt protection metrics. Although IndiGo has historically been able to pass on costs to customers to some extent with a reasonable time-lag and has introduced a fuel charge for domestic and international flights, increase in air fares may affect demand, which will remain monitorable. The Government of India’s 25% cap on domestic ATF price hike starting April 1, 2026, has cushioned airlines from the immediate post-conflict spike in fuel cost. The situation is still evolving, and Crisil Ratings will continue to monitor movements in ATF prices, grounding/re-routing of overseas flights and the expected normalisation in the near team and will assess the impact on the business and financial risk profiles of IndiGo and take appropriate rating action. The ratings continue to reflect the established position of IndiGo in the Indian aviation sector as reflected in ~64% domestic market share in fiscal 2026. The market position is expected to remain strong over the medium term with continuation of streamlined operations, strong passenger demand and healthy fleet addition on an ongoing basis. The company has consistently maintained passenger load factor (PLF) above 80% over the past few years through April 2026. Meanwhile, its on-time performance, which was temporarily impacted by the disruption in December 2025, has recovered and is in line with the corresponding periods of the previous few fiscals. IndiGo’s operating income is expected to grow in double digits in fiscal 2027 after growing 5.1% in fiscal 2026 to Rs 850 billion. The growth is likely to be driven by continued fleet addition with expected normalisation of international operations from the third quarter of fiscal 2027. In fiscal 2026, available seat kilometre (ASKM) increased to 172 billion km from 157 billion km in fiscal 2025, but PLF moderated to 84% from 86%. The PLF may dip slightly this fiscal. Operating profitability, as indicated by earnings before interest, taxes, depreciation, amortisation and rent (Ebitdar; ex-foreign exchange [forex]) margin, moderated to ~27.3% in fiscal 2026 from 28.2% in fiscal 2025, and is expected to remain subdued in fiscal 2027 due to higher operational cost because of increase in fuel cost. The rupee depreciation has raised maintenance, repair and overhaul (MRO) and other foreign denominated costs, resulting in moderation in profit. IndiGo has added a fuel charge to weather the increased cost. Any further increase in air fare and its implication on demand will bear watching. For fiscal 2026, the company recorded forex loss of Rs 89.76 billion as the rupee depreciated to Rs 94.6 per US dollar. The Indian currency remained volatile in the first quarter of fiscal 2027, declining to Rs 96.5 and recovering to ~Rs 94.5 as on June 19, 2026. The rating continues to factor in IndiGo’s healthy financial risk profile and liquidity. Debt (including lease liability) increased to Rs 777 billion as on March 31, 2026, from Rs 668 billion a year ago, due to fleet expansion and rupee depreciation. The lease liability is expected to increase as the company is likely to add to its fleet over the medium term. On the other hand, the company recorded free cash of Rs 362 billion as on March 31, 2026 (total cash: Rs 503 billion). Net debt to Ebitdar (ex-forex) moderated slightly to 1.8 times in fiscal 2026 from 1.6 times in the previous fiscal. Crisil Ratings has noted the appointment of William Walsh as the new Chief Executive Officer (CEO) of IndiGo on March 31, 2026 (subject to regulatory approval). He is expected to join on or before August 3, 2026. This appointment follows the resignation of Pieter Elbers from the position of CEO. In the interim, Rahul Bhatia, the current Managing Director, has taken charge of managing the company's affairs, effective March 10, 2026. The leadership transition and its impact on IndiGo's strategy, operations and performance will remain monitorable. The ratings also continue to factor in the price-sensitive nature of the airline industry and the company’s dependence on a single aircraft family resulting in supplier concentration risk. Analytical Approach Crisil Ratings has followed the consolidation approach and combined the business and financial risk profiles of IndiGo and its subsidiaries owing to their strong business and financial linkages. The lease liabilities are considered as debt as these leases are for core business assets (aircraft) and are of long tenure, and the company has unconditional and non-negotiable obligation to pay lease rentals. Crisil Ratings has adjusted the total cash and equivalents to arrive at the freely available cash, which is used to arrive at the net debt. Please refer Annexure - List of Entities Consolidated, which captur [Showing first 8,000 characters — download PDF for full document]