When crude oil prices are flirting with $70 per barrel, investors in aviation companies should start biting their nails. Graphic: Naveen Kumar Saini/MintWhen crude oil prices are flirting with $70 per barrel, investors in aviation companies should start biting their nails. The proportion is substantial and that’s why higher crude oil prices spell trouble for aviation companies, as they are a risk to profitability. To be sure, the forthcoming December quarter results are not expected to show the impact of higher crude oil prices. So far as passenger growth is reasonable, things should not turn too ugly unless of course, crude oil prices rise through the roof.

Source: Mint January 23, 2018 02:48 UTC