New Delhi, Feb. 24 -- Losses of Indian aviation firms InterGlobe Aviation Ltd and SpiceJet Ltd declined on a sequential basis for the quarter ended December.

InterGlobe runs IndiGo, India's largest airline by market share. For perspective, IndiGo's net loss for the December quarter dropped to Rs.626 crore from Rs.1,195 crore in the September quarter.

During the period under consideration, SpiceJet's reported net loss declined to around Rs.57 crore from Rs.113 crore.

Even as traffic recovery is underway, risks loom for the sector. One, analysts do not expect yields to improve meaningfully from a near-term perspective. Yields are a measure of pricing for airlines.

"Yields were pretty much muted in January but improved in February. Now, ...