IndiGo operator Interglobe Aviation reported more than a two-fold growth in third-quarter profit on Friday, helped by air travel demand and higher fares in a seasonally strong period.

India's largest airline by market share said it expects capacity measured in available seats per kilometre to rise 12% in the current quarter.

The low-cost carrier has India's largest airline fleet of 358 aircraft and commands a market share of more than 62%.

The airline has been leasing new planes and extending agreements on older ones due to a fifth of its fleet being grounded by Pratt and Whitney engine issues.

The company reported a standalone profit of 29.98 billion rupees ($362 million) for the three months ended Dec. 31, compared with 14.18 billion rupees a year earlier.

It benefited from back-to-back festive and wedding seasons, along with the men's Cricket World Cup hosted in the country, analysts said.

IndiGo's revenue rose 30% to 194.52 billion rupees, which analysts attributed to higher fares.

Its expenses rose 22% as fuel costs - which account for 40% of the total - rose 18%. Foreign exchange losses, however, narrowed by more than 91%.

IndiGo's load factor, or the utilised passenger carrying capacity, improved to 85.8% from 85.1%.

Yield - the average revenue earned per passenger kilometre - rose 2% to 5.48 rupees per kilometre.

The company's shares ended 2% higher on Friday at their best-ever closing price of 3,127.1 rupees. ($1 = 82.8850 Indian rupees) (Reporting by Nandan Mandayam in Bengaluru; Editing by Varun H K and Sohini Goswami)