Like online travel aggregator MakeMyTrip, Yatra has also shown minor signs of recovery from its dismal financial performance in the first quarter of FY2021. The company, in the second quarter, has recorded a revenue of INR 26.3 Cr ($3.6 Mn). It had earned only INR 19.2 Cr ($2.5 Mn) in the first quarter of FY2021.
Yatra has noted a 85% fall in its revenue in Q2 FY2021, compared to the same time in FY2020 when it had earned a revenue of INR 175.8 Cr ($24.9 Mn). Yatra’s overall adjusted revenues have decreased by 75.2% year-on-year. Similarly, the company’s adjusted revenues from air ticketing and hotel and packages have reduced by about 75% each.
The company’s losses for the period have increased by 28% from INR 39 Cr ($5.7 Mn, according to conversion rate in 2019) in Q2 FY2020 to INR 30 Cr ($4.1 Mn). Last quarter, the company had a loss of INR 7.95 Cr ($1.1 Mn).
Commenting on the same, Yatra’s cofounder and CEO Dhruv Shringi, said, “The domestic aviation market in India continued on its path of recovery with October 2020 passenger traffic up 33% from September 2020 levels have recovered to 42% of October 2019 levels. This recovery in domestic traveled to a sequential quarterly growth of 60% in our adjusted revenue to INR 37.7 Cr ($5.1 Mn).”
“This growth in revenue further combined with strong cost control enabled us to reduce our adjusted EBITDA loss sequentially from INR 30.9 Cr ($4.1 Mn) in the June 2020 quarter to INR 12.5 Cr ($1.7 Mn) in the September 2020 quarter. We continue to believe our current liquidity position and cost restructuring efforts provide us with enough capital to withstand a prolonged slowdown in the travel industry should that occur,” he further explained.
Meanwhile, Yatra’s competitor MakeMyTrip too has been flying on the same plane. The company’s revenues grew from $6.4 Mn in Q1 to $21 Mn in Q2 of FY2021. The company highlighted that there was a 77% drop in revenue from air ticketings, 91% drop in hotels and packages, 85% drop in bus ticketing and 71% fall in other revenues. Yet, the company’s operating losses have reduced by 16% from $31.8 Mn in the same quarter last year to $26 Mn this year.