MakeMyTrip Surges Ahead with $5.4 Million Profit in Q4
Robust Travel Demand Drives MakeMyTrip to Profitability
17 May 2023
MakeMyTrip reports a turnaround, posting a profit of USD 5.4 million in Q4 FY23 compared to a loss of USD 4.1 million in the same period last year.
The company achieves record-breaking annual gross bookings of USD 6.6 billion in FY23, reflecting a remarkable growth of 122% YoY in constant currency terms.
MakeMyTrip's CEO expresses optimism, stating that the company is well positioned for the next fiscal year with a strong pipeline of product innovation to enhance customer experience.
Online travel service provider MakeMyTrip has announced its financial results for the fourth quarter ended March 31, 2023. Despite facing macroeconomic headwinds and being a seasonally slower quarter, the company reported a significant turnaround, posting a profit of USD 5.4 million compared to a loss of USD 4.1 million in the same period the previous year. This positive performance was supported by robust travel demand and a substantial increase in gross bookings. Let's delve deeper into the details of MakeMyTrip's remarkable recovery and growth.
MakeMyTrip's gross bookings for the fourth quarter of FY23 soared to USD 1,673.9 million, a notable surge of 65.4% compared to USD 1,012.3 million in Q4FY22. The company's prudent strategies and cost optimization initiatives resulted in a substantial reduction in annual losses. For the fiscal year ending March 31, 2023, MakeMyTrip reported a reduced loss of USD 11.2 million, significantly down from USD 45.6 million in the previous fiscal year.
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MakeMyTrip achieved its highest-ever annual gross bookings in FY23, reaching USD 6.6 billion, a remarkable growth of 122% year-on-year in constant currency terms. This milestone underscores the company's strong recovery and highlights the favorable consumer sentiment that prevailed throughout the fiscal year. The robust travel demand witnessed during this period provided a solid foundation for MakeMyTrip's impressive performance.
Rajesh Magow, Group Chief Executive Officer of MakeMyTrip, expressed his satisfaction with the company's results and its strategy for future growth. He attributed their success to investing in the right areas and optimizing costs. Magow stated, "We remain well positioned for the next fiscal year with a strong pipeline of product innovation to further enhance customer experience." This positive outlook reflects MakeMyTrip's determination to capitalize on the recovering travel industry and solidify its market position.
In constant currency terms, the gross bookings for the fourth quarter grew by a remarkable 80.7% year-on-year, reaching USD 1.7 billion. MakeMyTrip also achieved its highest-ever adjusted profit of USD 19.0 million for the quarter, compared to USD 12.0 million in the same period last year. This positive trend in both gross bookings and adjusted profit showcases the company's ability to adapt to changing market dynamics and capitalize on growing travel demand.