RateGain Shares Hit Fresh 52-Week Low

Shares of enterprise tech unicorn Rategain hit a fresh 52-Week low for the second consecutive session as the stock tanked over 6% to trade at INR 504.75 during the intraday trading session on the BSE today (February 18).

At the time of writing, its market capitalisation stood at INR 5,971 Cr with more than 5 Lakh shares traded hands by 11:50 AM. 

RateGain closed the previous trading session (February 18) at INR 538.10 and has been ending in red for the last seven sessions. 

The stock is following a downward trajectory despite the company’s consolidated net profit surged 40% to INR 56.54 Cr in the third quarter of the fiscal year 2024-25 (Q3 FY25) from INR 40.42 Cr in the year-ago quarter. On a quarter-on-quarter basis, net profit rose over 8% from INR 52.20 Cr.

Its revenue from operations jumped nearly 11% to INR 278.70 Cr in the December quarter of FY25 from INR 252 Cr in the same quarter last year. Notably, on a sequential basis, the company’s operating revenue remained flat at INR 278.70 Cr. 

Founded in 2004 by Bhanu Chopra, RateGain is a global provider of SaaS solutions for travel and hospitality sectors, enabling enterprises to accelerate revenue growth through acquisition, retention and wallet share expansion. The startup claims to cater to more than 3,200 customers and has a presence in over 100 countries.

Last year, Chopra said that the company is looking to double its revenue in the next three years as it leverages artificial intelligence to cut operational costs and demand booms in India’s hospitality and tourism sector. 

In the fiscal year ended March 2024 (FY24), RateGain clocked a revenue of INR 998.59 Cr, up 70.7% from INR 585.06 Cr in FY23.

RateGain entered the stock market in December 2021. The stock debuted at INR 425, which was at the upper end of its IPO price range of INR 405 to INR 425.