Net profit also rose 34.6% on a QoQ basis on the back of new contract wins and margin expansion
Operating revenue surged 82.2% YoY to INR 252.02 Cr in Q3 FY24
EBITDA margin expanded to 20.3% in Q3 FY24 from 16.6% in the year-ago quarter and 19.8% in Q2 FY24
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Traveltech SaaS startup RateGain’s consolidated profit after tax (PAT) tripled to INR 40.42 Cr in the quarter ended December 31, 2023 from INR 13.23 Cr in the year-ago quarter on new contract wins and margin expansion.
On a quarter-on-quarter (QoQ) basis, the startup’s PAT grew 34.6% from INR 30.04 Cr.
Operating revenue surged 82.2% year-on-year (YoY) to INR 252.02 Cr during the quarter under review. On a QoQ basis, it rose 7.4% from INR 234.7 Cr.
The startup attributed the growth in its profit to its highest ever new contract wins on a quarterly basis. RateGain said its new contract wins for the nine-month period ending December 31, 2023 surged 134% YoY to INR 209.18 Cr.
Meanwhile, earnings before interest, tax, depreciation and amortisation (EBITDA) rose 123.5% to INR 51.26 Cr in Q3 FY24 from INR 22.93 Cr in the year-ago quarter. On a QoQ basis, it grew 10.4% from INR 46.42 Cr. EBITDA margin expanded to 20.3% in Q3 FY24 from 16.6% in the year-ago quarter and 19.8% in Q2 FY24.
Commenting on the results, RateGain founder and chairman Bhanu Chopra said, “The industry is now moving from pricing led growth to occupancy led growth. RateGain with its AI led products is suitably positioned to capitalise on this change and help the industry simplify guest acquisition and improve ROI. We continue to invest in areas that are critical to drive the next leg of growth and sharpen focus on execution to capitalise on emerging opportunities and drive value for our customers.”
The startup added that it has a healthy pipeline of INR 421.48 Cr.
On the expenses front, total expenses rose 69.8% to INR 210.8 Cr from INR 124.1 Cr in the year-ago quarter. Employee expenses surged 67.2% YoY to INR 101.11 Cr.
RateGain’s total employee count increased 18% YoY to 755 at the end of the quarter under review. It stood at 746 at the end of September quarter of 2023.
Founded in 2004, RateGain is a global provider of SaaS solutions for travel and hospitality. It works with 3,000+ customers and 700+ partners in 100+ countries, helping them accelerate revenue generation through acquisition, retention, and wallet share expansion.
Shares of the company ended today’s trading session 5.82% higher at INR 841.30 on the BSE.
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