MakeMyTrip (MMYT) Q1 2025 earnings summary

Executive summary

• Achieved record quarterly and annual gross bookings, with Q1FY25 gross bookings at $2.4 billion (up 22% YoY in constant currency) and FY24 gross bookings at $7,954 million, reflecting strong business recovery and growth post-pandemic.

• Adjusted operating profit reached $39.1 million in Q1FY25 (up 30% YoY), and FY24 adjusted operating profit was $124.2 million, a threefold increase over FY23.

• Lifetime transacted user base exceeded 75 million, with loyalty program enhancements and improved operating metrics.

• Maintains leading market share in India's online travel sector, with diversified offerings and robust brand awareness across air, hotels, bus, and ground transport.

• Revenue grew 29.4% year-over-year to $254.5 million in Q1FY25, driven by robust travel demand in India for both domestic and international travel.

Financial highlights

• Q1FY25 revenue was $254.5 million (up 31.5% YoY in constant currency), with adjusted net profit up 32.6% to $44.5 million.

• Q1FY25 gross bookings reached $2,380.4 million (up 21.6% YoY), and net cash from operations was $42.9 million.

• Cash and cash equivalents stood at $676 million as of June 30, 2024.

• Air ticketing revenue in Q1FY25 was $89.1 million (up 21.2% YoY), hotels & packages at $107.3 million (up 27.3% YoY), and bus ticketing at $32.4 million (up 20.7% YoY).

• Adjusted margins: Air Ticketing 6.4%, Hotels and Packages 17.5%, Bus Ticketing 10.2%.

Outlook and guidance

• Margins expected to remain close to current levels for the full year, with a long-term target of 1.8%-2% over the next 3-5 years.

• Expects continued growth driven by India's expanding digital landscape, rising disposable incomes, and government infrastructure investments.

• Online travel market projected to grow 5x from $12 billion in 2022 to $60 billion by 2030.

• Focus on leveraging technology, expanding international presence, and increasing share in corporate travel.

• Domestic air supply expected to improve in the second half of the year, with full recovery likely taking at least six months.