Jet Airways is facing major turbulence on the street today. It is currently the top loser on the BSE, down  almost 3.5% at Rs.335 though it has recovered a bit from its intra day low at Rs.325.

The stock is in the red today on account of its poor performance for Q2FY14. The falling rupee, market conditions and grounding of its staff, all together pushed up the losses of the company, coming in almost 8 times more  (YoY) at Rs.891 crore despite net revenue showing a marginal 1% rise at Rs.4195 crore. The consolidated net loss has come in higher at Rs.998 crore. What also did not help is that the company had a forex loss of Rs.59 crore as against a gain in previous Q2 of Rs.70 crore. Fuel cost, its big bone of contention was up 8% at Rs.1810 crore, which is over 43% of the net revenue earned.

The company has blamed this poor performance on lean season, economic slowdown resulting in lower yields, depreciating rupee, higher fuel prices and increase in airport charges. The company also bore an expense on Rs.12 crore on account of aircraft getting grounded. The company has hiked prices in Sept and early Oct and it is hopeful that the effect of this will be felt in the current Q3. This is the peak season too for travel and there is hope that Jet will be able to recover some lost ground. The company has high debt and in current Q2, interest outgo was at Rs.250 crore and at Rs.484 crore for H1FY14. High fuel costs and rupee will remain a concern though the company plans to shore up some earnings by either leasing or selling the surplus aircrafts.