EaseMyTrip Q2: PAT Declines To INR 26.8 Cr

Online travel aggregator (OTA) EaseMyTrip reported a 42.8% decline in its consolidated profit after tax (PAT) at INR 26.8 Cr in the second quarter (Q2) of the financial year 2024-25 (FY25) from INR 46.9 Cr in the year-ago quarter. 

On a quarter-on-quarter (QoQ) basis, net profit declined 20.9% from INR 33.9 Cr in Q1 FY25.

Revenue from operations remained largely flat, rising a nominal 2.1% to INR 144.6 Cr in Q2 FY25 from INR 141.6 Cr in the September quarter last year. 

However, it declined 5.2% from INR 152.6 Cr on a sequential basis. 

The company reported an EBITDA of INR 42.3 Cr for the quarter, down 16.40% from INR 50.6 Cr EBITDA registered in the preceding quarter. 

In its investor presentation, EaseMyTrip said that its Gross Booking Revenue (GBR) increased about 2% to INR 2,075.6 Cr in the quarter. It claims to have served 26 Mn users by the end of September. 

The online flight booking segment continued to lift the heaviest load for the company in the quarter despite taking a hit in its revenue. The segment’s revenue declined 22.5% to INR 9.25 Cr from INR 11.94 Cr it made in the previous year’s quarter.

However, the company reported a 140% year-on-year (YoY) spike in its revenue from its hotels business to INR 32.6 Cr. The company said that hotel nights booked rose 75.3% YoY to 2.2 Lakh. 

Similarly, revenue from trains, buses and other operations rose 66% to INR 19.6 Cr during the quarter from INR 11.8 Cr in the year-ago quarter. 

Without giving revenue numbers, the company said in a press release that its Dubai operations generated a GBR of INR 172.5 Cr, up 371.3% YoY. 

Acknowledging the growth spurt in its services outside of its bread and butter airlines operations, EasyMyTrip cofounder and CEO Nishant Pitti said that the non-air business segments were the key drivers of growth this quarter. 

“The non-air business segments have been key drivers of growth this quarter, demonstrating our successful diversification strategy….Together, these achievements highlight EaseMyTrip’s focus on driving long-term, profitable growth by tapping into diversified and international segments to deliver enduring value to our stakeholders,” he said in a statement. 

In the quarter ended September, the company also launched Easy Green Mobility, a wholly-owned subsidiary to manufacture electric buses with the aim to tap the electric bus market in India. 

Besides, it also launched a travel marketplace, ScanMyTrip.com on the ONDC Network to offer OTAs and small service providers access to a broader digital marketplace.

In the most recent development, EaseMyTrip partnered with Hyperface, a credit card as a service (CCaaS) platform, to drive customer engagement by enhancing existing card programmes and launching new co-branded credit card programmes. 

Where Did EaseMyTrip Spend? 

Total expenses surged 17.9% to INR 177.9 Cr in Q2 FY25 from INR 150.8 Cr in the year-ago quarter. 

Employee Benefit Expenses: The company spent INR 25.0 Cr on its employees in the July-September quarter of FY25, an increase of 33% from the year-ago quarter. 

Marketing & Sales Promotion: The expenses under the head grew to INR 24.4 Cr from INR 13.8 Cr in Q2 FY24. 

Other Expenses: EaseMyTrip’s other expenses increased 41.9% to INR 29.1 Cr from INR 20.5 Cr in the same quarter last year. 

Discount To Customers: The company’s discount to customers reduced to INR 79.1 Cr in September quarter this fiscal from INR 81.5 Cr in Q2 FY24.