Yatra Online’s losses climbs 3.8x to Rs 27.28Cr in Q2FY24

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Yatra Online Inc, a NASDAQ-listed company, has witnessed a significant increase in its quarterly losses. The company reported a net loss of Rs 27.28 crore for the second quarter of FY24, which is a steep rise from Rs 7.12 crore in the same period last year.

The notable 3.8X increase in losses came despite a 13.9% rise in revenue year-over-year, with earnings of Rs 94.75 crore.

Operational costs on the rise

A notable rise in expenses has accompanied the company’s revenue growth. Personnel expenses jumped by 34.3% to Rs 38.63 crore, and marketing and sales promotion expenses grew by 51.7% compared to the previous year. These expenses have been significant factors in the company’s widened losses.

Dhruv Shringi, Co-founder and CEO of Yatra Online expressed confidence in the company’s performance, citing a 31.2% increase in air passengers booked, which outpaced the domestic air passenger industry growth. He emphasized the strength of the YATRA brand and the company’s market share gain, despite the financial losses.

Share buyback plan 

Yatra Online Inc. has initiated a plan to buy back shares worth up to $5 million, representing about 5% of the company’s total value. Additionally, the Indian subsidiary, Yatra Online Limited, was listed on Indian stock exchanges, raising funds intended for strategic growth and customer-centric initiatives.

Financial and operating metrics

The company’s financial results showed mixed signals, with a decrease in adjusted EBITDA by 55.1% year-over-year and an increase in total gross bookings by 10.2%. The adjusted margin from air ticketing decreased by 4.8% due to a softening in air ticket prices, while the margin from hotels and packages increased by 15.6%.

What does Yatra do?

Yatra Online offers an online platform for travelers, providing a wide range of services including access to various accommodations like hotels and homestays, along with facilitating vacation packages, visa processes, tours, and entertainment events.

The company positions itself as the leading corporate travel service provider in India, boasting the highest number of corporate clients. As of March 2023, it has established over 2,105,600 partnerships with hotels and accommodations, making it a significant player in the online travel agency (OTA) sector in India, both in terms of gross booking revenue and operating revenue for the fiscal year 2023.

It competes with other giant players like Easy Trip Planners, MakeMyTrip, and Cleartrip.

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We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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Yatra Online’s losses climbs 3.8x to Rs 27.28Cr in Q2FY24

Yatra Online Inc, a NASDAQ-listed company, has witnessed a significant increase in its quarterly losses. The company reported a net loss of Rs 27.28 crore for the second quarter of FY24, which is a steep rise from Rs 7.12 crore in the same period last year.

The notable 3.8X increase in losses came despite a 13.9% rise in revenue year-over-year, with earnings of Rs 94.75 crore.

Operational costs on the rise

A notable rise in expenses has accompanied the company’s revenue growth. Personnel expenses jumped by 34.3% to Rs 38.63 crore, and marketing and sales promotion expenses grew by 51.7% compared to the previous year. These expenses have been significant factors in the company’s widened losses.

Dhruv Shringi, Co-founder and CEO of Yatra Online expressed confidence in the company’s performance, citing a 31.2% increase in air passengers booked, which outpaced the domestic air passenger industry growth. He emphasized the strength of the YATRA brand and the company’s market share gain, despite the financial losses.

Share buyback plan 

Yatra Online Inc. has initiated a plan to buy back shares worth up to $5 million, representing about 5% of the company’s total value. Additionally, the Indian subsidiary, Yatra Online Limited, was listed on Indian stock exchanges, raising funds intended for strategic growth and customer-centric initiatives.

Financial and operating metrics

The company’s financial results showed mixed signals, with a decrease in adjusted EBITDA by 55.1% year-over-year and an increase in total gross bookings by 10.2%. The adjusted margin from air ticketing decreased by 4.8% due to a softening in air ticket prices, while the margin from hotels and packages increased by 15.6%.

What does Yatra do?

Yatra Online offers an online platform for travelers, providing a wide range of services including access to various accommodations like hotels and homestays, along with facilitating vacation packages, visa processes, tours, and entertainment events.

The company positions itself as the leading corporate travel service provider in India, boasting the highest number of corporate clients. As of March 2023, it has established over 2,105,600 partnerships with hotels and accommodations, making it a significant player in the online travel agency (OTA) sector in India, both in terms of gross booking revenue and operating revenue for the fiscal year 2023.

It competes with other giant players like Easy Trip Planners, MakeMyTrip, and Cleartrip.

Join our new WhatsApp Channel for the latest startup news updates

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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