ixigo shares plummeted over 11% in early trade to hit their all-time low at INR 118.75 apiece on the BSE ahead of Q3 FY25 results
At 11:42 AM, the market capitalisation of the online travel aggregator tumbled to INR 4,707.53 Cr (around $544 Mn)
ixigo’s consolidated net profit declined 51% to INR 13.08 Cr in Q2 FY25 from INR 26.70 Cr in the year-ago quarter
Shares of travel tech company Ixigo
At 11:42 AM, the stock was trading at INR 120.95, 9.43% lower than its previous close.
Amid a decline in its share price, the market capitalisation of the online travel aggregator tumbled to INR 4,707.53 Cr (around $544 Mn).
Founded by Aloke Bajpai and Rajnish Kumar, ixigo started in 2007 as a travel search website to help users compare flight deals. In FY20, it became an OTA and started selling various travel services like flights, trains, bus tickets, hotel bookings and holiday packages.
The company made its stock market debut with its shares listing at INR 135 apiece on the BSE, a premium of 45.16% against the IPO issue price.
The stock has shed nearly 10% in the last five trading sessions and over 29% in the last month.
ixigo’s consolidated net profit declined 51% to INR 13.08 Cr in the second quarter of the ongoing fiscal year (Q2 FY25) from INR 26.70 Cr in the year-ago quarter.
Meanwhile, revenue from operations rose 26% to INR 206.47 Cr in Q2 FY25 from INR 163.91 Cr in the corresponding quarter last year.
EBITDA surged 655% year-on-year to INR 22.40 Cr, while adjusted EBITDA (excluding ESOP expenses) rose 326% to INR 20.99 Cr from INR 4.92 Cr in Q2 FY24.
Earlier this month, brokerage JM Financial initiated coverage on ixigo with a ‘buy’ rating, saying ixigo is the emerging dark horse in India’s OTA market.
The brokerage gave the stock a target price of INR 180 per share, which implies an upside potential of almost 35% from its previous close.
According to analysts at JM Financial, ixigo is currently the second-largest and fastest-growing OTA in India in terms of gross transaction volume (GTV). Segment-wise, it is the market leader in train ticketing and is quickly strengthening its position in flight and bus ticketing.
In the first half of the financial year 2024-25 (H1 FY25), ixigo clocked a GTV growth of 34% on a year-on-year basis, outperforming its peers. In comparison, MakeMyTrip reported a GTV growth of 23% YoY, while EaseMyTrip and Yatra reported a decline of 1% and 9%, respectively, during the same period.