This brings the total net profit for the first half of FY25 to INR 291 Cr, marking a substantial recovery from the net loss of INR 91 Cr recorded during the same period last year
Following a similar trail, the company's revenue surged to INR 1,578 Cr in Q2 FY25, up 12% from INR 1,413 Cr in Q1 FY25
For the quarter under consideration (Q2 FY25), OYO’s EBITDA rose to INR 266 Cr in Q2, representing a 27.4% increase from INR 174 Cr reported in the previous quarter
Travel tech major OYO’s parent Oravel Stays Ltd has reported a net profit of INR 158 Cr in the second quarter of the current fiscal ended September, following a profit of INR 132 Cr in the previous quarter (Q1 FY25). This marks a sequential increase of 19.6%.
Sources told Inc42 that OYO’s CEO Ritesh Aggarwal shared the numbers during a town hall today.
This brings the total net profit for the first half of FY25 to INR 291 Cr, marking a substantial recovery from the net loss of INR 91 Cr recorded during the same period last year.
This bottom line recovery comes on the back of OYO’s premiumisation focus with the launch of company-serviced hotels under Townhouse, Collection O hotels, Palette and Sunday brands.
Following a similar trail, the company’s revenue surged to INR 1,578 Cr in Q2 FY25, up 12% from INR 1,413 Cr in Q1 FY25.
For the quarter under consideration (Q2 FY25), the sources further revealed that OYO’s EBITDA rose to INR 266 Cr in Q2, representing a 27.4% increase from INR 174 Cr reported in the previous quarter (Q1 FY25).
It is pertinent to note that the company also witnessed a surge in the Gross Booking Value to INR 3,242 Cr in Q2 FY25 from INR 3,048 Cr in Q1 FY25. This is a 17% increase compared to the INR 2767 Cr reported in the same quarter the previous year.
Commenting on the financials, a source close to the company said, “In a sense, OYO’s quest of profitability has been similar to some of the new age platform companies with Zomato delivering Q2 FY25 PAT of INR 176 Cr, Makemytrip reported PAT Q1FY25 of INR 174 Cr ($21 Mn).”
With these Q2 numbers, the company will report eight consecutive quarters of positive Adjusted EBITDA. In August, the company claimed to have reported its maiden profitable fiscal for the financial year 2023-24 (FY24) with INR 229.57 Cr recorded in profit after tax (PAT).
Last month, OYO
announced its acquisition of G6 Hospitality, G6 Hospitality, the parent entity of Motel 6 and Studio 6 brands, from Blackstone Real Estate for $525 Mn (around INR 4,382.72 Cr) in an all-cash transaction.
As a result of its recent acquisitions, sources revealed that the company is expecting to surpass INR 2,000 Cr in EBITDA in FY26, adding substantially to its topline.
This acquisition marked OYO’s US expansion since its launch in the region in 2019. Besides the US, the company is also looking to bolster its presence in Europe, where it earns higher revenue due to larger ticket sizes.
To further consolidate its expansion spree, the company in August raised INR 1,457 Cr (around $175 Mn) in a down round led by Ritesh Agarwal floated Singapore-based entity Patient Capital, along with J&A Partners and ASK Financial Holdings.
OYO is also preparing to go public again after previously postponing its IPO plans twice. The company is reportedly intending to refile its DRHP with SEBI after completing the ongoing refinancing of its $660 Mn Term Loan B.
Founded in 2012 by Agarwal, OYO is a hospitality service company that aims to provide easy-to-book and affordable accommodation to customers around the world. The company claims to offer over 40 integrated products and solutions in more than 35 countries including India, Europe, and Southeast Asia.
