Gloomy days for airlines seem like a thing of the past already, with air traffic having reported a significant rise in August – marking a notable double digit growth for the month. A total of 3.67 million passengers traveled using air services of different operators in August, as compared to 2.92 million in the same period last year.

Recently-released data by the industry regulator Directorate General of Civil Aviation (DGCA) on Monday indicates 26 per cent rise in air traffic in the reporting period, bringing good news for recession-hit airlines, which left no stone unturned to cover their losses. The regulator said that all operators performed well, but results of low-cost carriers are quite encouraging as they successfully lured customers by offering them tickets at reasonable rates.

Air India, run by National Aviation Company of India (NACIL) failed to stop its domestic customer base erosion during the period, while private carriers IndiGo and Spice- Jet increased their market shares to 13.9% and 12.3% in August. NACIL and Jet reported 16.6% and 18.7% decline in their market shares in August, but managed to improve the seat factor.

A private airline executive said on the condition of anonymity: “While passenger numbers during August has grown, yield has not been very good on account of a 30-35 % fall in air fares compared to August last year.”