News on Medial

Decoding Q2 FY25 for OTAs ft. MMT, Ixigo, EaseMyTrip and Yatra

EntrackrEntrackr ยท 14d
Decoding Q2 FY25 for OTAs ft. MMT, Ixigo, EaseMyTrip and Yatra

Indian online travel agencies (OTAs) business has bounced back after the pandemic on the back of revenge travel and the increased appetite of Indians towards leisure and business travel. The increased share of wallets on travel led to growth across four major OTAs in Q2 FY25. MakeMyTrip (MMT) continued to dominate the online travel space, but recently listed Ixigo has emerged as the second-largest OTA based on this metric. While we will discuss Ixigo later, let's focus on MMT for now. MakeMyTrip reported Rs 1,354 crore in revenue minus service costs in Q2 FY25. The last quarter was the best ever quarter for MMT in terms of profit as its profit after tax (PAT) zoomed almost 9X to $18 million, as compared to the corresponding quarter last year (Q2 FY24). Income from air travel grew 25.2% amounting to Rs 512 crore in Q2FY25 when compared to Q2FY24 while revenue hotels and package services contributed Rs 496 crore (revenue less service cost) and grew 15.3% quarter-on-quarter. Bus ticketing and other services (including trains) stood at Rs 210 crore and Rs 185 crore, respectively. Ixigo has turned out to be the second largest OTA player as the firm registered 25.6% growth to Rs 206 crore in Q2FY25 from Rs 164 crore in Q2FY24. It reported a profit of Rs 13 crore in the same period. On the revenue front, income from train bookings was the largest, contributing 53% which increased 19.1% QoQ to Rs 110 crore (minus service cost) in Q2FY25. Collection from the bus and air increased 42.8% and 37.45% to Rs 40 crore and Rs 56 crore, respectively, in Q2FY25. EaseMyTrip, on the other hand, posted a flat growth with its modest revenue less service cost growth to Rs 131 crore in Q2 FY25 from RS 130.7 crore in Q2 FY24. However, according to IFRS, its revenue from operations stood at Rs 145 crore in Q2FY25 with the profits dwindling by 42.6% to Rs 27 crore in Q2FY25, as compared to Rs 47 crore in Q2FY24. Income from sale of flight tickets decreased by 20% to Rs 116.2 crore in Q2 FY25 from Rs 116.2 Q2 FY24. Whereas the hotels and other allied services saw an increase of 144% and 64.5%, respectively. Yatra, listed on NASDAQ (operational in India), has recorded 20% quarter-on-quarter growth in revenue less service cost to Rs 94 crore in Q2 FY25. However, the company posted 2.5X growth to Rs 236 crore in Q2FY25, if we don't exclude the service cost component. In Q2 FY25, the company generated Rs 43.3 crore from its air ticketing segment, Rs 30 crore from hotels (net of discounts and service fees), Rs 7.5 crore from bus/train bookings, and Rs 13.5 crore from other operating activities, including advertising.

Comments

Download the medial app to read full posts, comements and news.