MakeMyTrip Ltd, India’s largest online travel services firm, reported a 64.5% surge in net revenue for the quarter through March and said its adjusted net loss narrowed a little from a year earlier.
Revenue excluding service costs in constant currency terms climbed to $85.1 million in the fiscal fourth quarter from $51.5 million a year earlier, the NASDAQ-listed company said in its earnings statement. Adjusted net loss contracted to $33.1 million from $34.1 million.
Deep Kalra, group chairman and group CEO, said 2016-17 was a pivotal year in MakeMyTrip’s history as it merged with the ibibo Group to create India’s leading travel company.
MakeMyTrip and ibibo had agreed to merge in October 2016, in the biggest-ever consolidation move in India’s online travel services sector.
The all-stock deal involved South African technology group Naspers and China’s Tencent—which owned 91% and 9%, respectively, in ibibo Group—selling the firm to MakeMyTrip in exchange for a 40% stake in the combined company.
Kalra also said that the company is best positioned to grow in India’s travel services market thanks to its recent capital raise and “sharp focus on driving superior customer experience”.
MakeMyTrip raised $330 million (Rs 2,116 crore) from investors earlier this month. It mobilised $132 million from Naspers, $33 million from Chinese travel firm Ctrip.com and $165 million from investors it didn’t identify.
MakeMyTrip’s results for the fourth quarter and full year include the results of ibibo Group.
Net revenue for the full fiscal year jumped 65% in constant currency terms to $273.7 million from $169 million. Adjusted net loss widened to $99.2 million from $58.3 million.
For the fourth quarter, net revenue from the air ticketing business in constant currency terms rose 47% to $32.9 million while net revenue from the hotels and packages business soared 57% to $43.9 million. The company attributed the growth to higher transactions after the merger with ibibo.
Other revenue increased to $8.3 million from $1.4 million thanks to the contribution of bus ticketing revenue from the ibibo Group and an increase in facilitation fees on travel insurance.