The Indian OTA segment has seen a strong comeback in Q2 FY25 due to the rising travel demand and the so-called “revenge travel” phenomenon. This turnaround has been quite impactful for four major players in the market – MakeMyTrip (MMT), Ixigo, EaseMyTrip, and Yatra. Each of them is experiencing growth at different levels, which adds up to a dynamic space in the travel industry.
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MakeMyTrip continues to dominate the OTA space, reporting great financials for Q2 FY25. The company has clocked revenues minus service costs of ₹1,354 crore, a significant uptick from previous quarters. Of course, MMT’s PAT saw a near ninefold jump to $18 million versus Q2 FY24.
Breaking down the revenue sources, income from air travel rose by 25.2% to ₹512 crore, while hotel and package services contributed ₹496 crore, showing a quarter-on-quarter growth of 15.3%. In addition, bus ticketing and other services, including train bookings, generated ₹210 crore and ₹185 crore, respectively, highlighting MMT’s diversified revenue streams.
Recently listed Ixigo has risen to become the second biggest OTA, with excellent growth being witnessed. The company reported its revenue at ₹206 crores in Q2FY25, an increase by 25.6 percent from ₹164 crores in the same quarter from the previous year. And Ixigo also reported a profit of ₹13 crore, which indicated its solid operational strategies.
Trains remained the strongest revenue contributor at Ixigo with 53% share, wherein the segment grew 19.1% QoQ at ₹110 crore. Even bus and air revenues jumped 42.8% and 37.45%, respectively, marking all-rounded recovery across its services.
In contrast, EaseMyTrip showed flat growth as revenue (minus service costs) went up marginally to ₹131 crore in Q2 FY25 from ₹130.7 crore in Q2 FY24. IFRS puts its revenue from operations at ₹145 crore in Q2 FY25. However, the company’s profits were down 42.6% to ₹27 crore, from ₹47 crore in the same quarter last year.
The flight ticket segment of EaseMyTrip has been marred by challenges as income plummeted by 20% at ₹116.2 crore. However, the segment of hotel bookings and allied services witnessed growth of 144% and 64.5%, respectively. This indicates that consumers now prefer these services.
Yatra, operating out of India and being NASDAQ-listed, clocked a quarter-on-quarter revenue growth of 20%. During Q2 FY25, the revenue (less service cost) stood at ₹94 crore. In case service costs are ignored, the revenue of Yatra jumped to ₹236 crore. The total revenues from air ticketing were at ₹43.3 crore, ₹30 crore from hotel bookings, ₹7.5 crore from bus/train tickets, and ₹13.5 crore from other operational income, including advertising.
These OTAs’ Q2 FY25 performance shows a great recovery in the travel industry due to increasing consumer demand for leisure and business travel. MakeMyTrip’s dominance, Ixigo’s fast climb, EaseMyTrip’s challenges, and Yatra’s steady growth reflect the mixed experience of the industry. With further recovery in travel, the companies are expected to respond to the shifting market trends and ensure their position in the competitive space.
