InterGlobe Aviation Ltd-led IndiGo has further reduced its growth capacity forecast for the current financial year to 22-23 percent from 25 percent earlier.

The airline had reduced its capacity growth target for the current financial year to 25 percent from 30 percent earlier on October 25 when it had announced its earnings for the September quarter.

The airline has also modified the growth target for March quarter to 15-20 percent.

“Looking backwards, the reason why we were softer in terms of ASK growth rate was because of the Jet Airways slots issue so this is affecting August, September…looking forward, the softness is due to aircraft delivery issues,” Chief Executive Officer Ronojoy Dutta had said on Oct 25 in the post-earnings conference call with analysts.

The recent directive by DGCA on November 25 asking IndiGo to ground one A320neo with the unmodified engine for the induction of every new A320neo with the modified engine has made the largest airline change its forecast.

The airline was already facing a challenging task when DGCA had asked IndiGo to replace the engines of its entire A320neo fleet by January 31. It had 97 A320neos as of November 1.

“We are working with manufacturers Pratt & Whitney and Airbus to get sufficient spare engines to mitigate the risk,” IndiGo said in the presentation it uploaded on the stock exchange on Dec 4. It is scheduled to meet institutional investors on Dec 5 and Dec 6 for an update on its business.