India's Akasa Air plans to raise passenger capacity by 30% in the current fiscal year, the airline said on Tuesday, after posting a 37% rise in annual revenue and a narrower loss.

Reuters reports, the unlisted airline did not disclose absolute revenue and income figures, but added that ⁠it was thinking of tapping the Indian government's loan guarantee and price stabilisation schemes for the industry.

The government this month approved a $1 billion fuel stabilisation fund to help keep jet fuel prices in check after they surged in the wake of the Iran war. Jet fuel is typically ⁠the largest expense for airlines.

Akasa said that its cost per available seat kilometre fell 4% on the year and that margins improved by 60%, aided ⁠by restructuring. It added 10 Boeing 737 MAX aircraft during the year that ended in March.

Akasa Air, which ⁠began commercial operations in 2022, has a 5.4% share of India's domestic aviation market, which ⁠is dominated by IndiGo and Tata Group-backed Air India.