EaseMyTrip Experiences Notable Decline in Financial Performance
EaseMyTrip, the online travel aggregator (OTA) platform, has reported a significant downturn in its financial performance for the last quarter. The company experienced a revenue drop exceeding 25% and a staggering 98% plunge in profit, which amounted to Rs 44 lakh.
Details of EaseMyTrip’s Financial Results
According to the financial statements submitted to the National Stock Exchange (NSE), EaseMyTrip’s operating revenue witnessed a decrease of 25.5%, falling to Rs 114 crore in Q1 FY26, compared to Rs 153.5 crore in Q1 FY25. Air ticketing has been the primary revenue source, constituting 50% of the total revenue; however, it saw a decline of 47%, dropping to Rs 57 crore in Q1 FY26 from Rs 107 crore in the same quarter last year. Hotel packages contributed 28.5% of total revenue, producing Rs 32.5 crore.
Income Breakdown for Q1 FY26
With additional undisclosed earnings included, EaseMyTrip’s overall income for Q1 FY26 amounted to Rs 120 crore, down from Rs 156 crore in Q1 FY25. In a quarter-on-quarter comparison, the company’s operating revenue decreased by 18%, falling from Rs 139 crore in Q4 FY25 to Rs 114 crore in Q1 FY26.
Cost Structures and Profit Decline
Due to its size, EaseMyTrip’s total expenses increased by 8%, reaching Rs 118 crore in Q1 FY26 compared to Rs 109 crore in the same quarter of the preceding year. Service costs represented 15% of the total expenses, dropping by 5% to Rs 18 crore in Q1 FY26. Other key expenses for the company included payment gateway fees, employee benefits, and marketing costs.
Profit and Earnings Analysis
This financial downturn resulted in a 98.7% decrease in profit after tax (PAT), falling to Rs 44 lakh in Q1 FY26 from a robust Rs 34 crore reported in Q1 FY25. On a per-unit basis, the company spent Rs 1.04 to generate a rupee of operating revenue, achieving an EBITDA of Rs 6.2 crore during this quarter.
Strategic Investments by EaseMyTrip
During a recent board meeting, EaseMyTrip approved several strategic investments, including Rs 175 crore in Three Falcons Notting Hill Limited for a 50% stake and a complete acquisition of AB Finance Private Limited for Rs 194.4 crore. Additionally, the company approved an investment in Vashu Bhagnani Industries Limited.
Stock Performance and Market Capitalization
As of Thursday’s trading session, EaseMyTrip’s shares closed at Rs 9.22, reflecting a 4% rise in stock price. The company’s total market capitalisation is estimated at Rs 3,353 crore (approximately $383 million).