Financial Highlights for Fiscal 2015 First Quarter
• Gross Bookings reached $432.2 million in 1Q15, representing a YoY increase of 36.7%. Gross bookings for Hotels and packagesincreased by 85.0% in 1Q15.
• Transactions for Hotels and packages improved by 106.5% YoY in 1Q15. Transactions for air ticketing grew by 16.1% YoY in 1Q15.
• Revenue rose 31.3% YoY to $94.8 million in 1Q15.
• Revenue less service costs increased 43.8% YoY to $35.5 million in 1Q15.
• Revenue less service costs for Hotels and packages increased 70.9% YoY in 1Q15. Hotels and packages contribution increased to49.6% in 1Q15 versus 41.7% in 1Q14.
“MakeMyTrip is pleased to announce strong operating and financial performance in the fiscal first quarter of 2015” said Deep Kalra, Chairmanand Group CEO. “The various investments made in the past fiscal year helped us to accelerate growth in the seasonally high travel quarter,particularly in the hotels & packages business. We are therefore reinforcing investments to ensure MakeMyTrip’ s customers continue to havethe best possible experience”.
Fiscal 2015 First Quarter Financial Results
Revenue. We generated revenue of $94.8 million in the quarter ended June 30, 2014, an increase of 22.9% (31.3% in constant currency) overrevenue of $77.2 million in the quarter ended June 30, 2013.
Air Ticketing. Revenue from our air ticketing business increased by 8.3% (16.0% in constant currency) to $16.5 million in the quarter endedJune 30, 2014 from $15.2 million in the quarter ended June 30, 2013. Our revenue less service costs increased by 15.6% (23.9% in constantcurrency) to $16.5 million in the quarter ended June 30, 2014 from $14.3 million in the quarter ended June 30, 2013.
Hotels and Packages. Revenue from our hotels and packages business increased by 26.6% (34.6% in constant currency) to $77.3 million in thequarter ended June 30, 2014, from $61.0 million in the quarter ended June 30, 2013. Our revenue less service costs increased by 64.6%(70.9% in constant currency) to $17.9 million in the quarter ended June 30, 2014 from $10.9 million in the quarter ended June 30, 2013.
Other Revenue. Our other revenue increased to $1.1 million in the quarter ended June 30, 2014 from $0.9 million in the quarter ended June30, 2013, primarily due to an increase in advertisement income on our websites.
Total Revenue less Service Costs. Our total revenue less service costs increased by 36.3% (43.8% in constant currency) to $35.5 million in thequarter ended June 30, 2014 from $26.0 million in the quarter ended June 30, 2013, primarily as a result of a 64.6% (70.9% in constantcurrency) increase in our hotels and packages revenue less service costs and a 15.6% (23.9% in constant currency) increase in our airticketing revenue less service costs.
Results from Operating Activities. As a result of the foregoing factors, our results from operating activities was a loss of $3.4 million in thequarter ended June 30, 2014 as compared to a loss of $5.4 million in the quarter ended June 30, 2013. Excluding the effects of our employeeshare-based compensation costs and amortization of acquisition related intangibles for both quarters ended June 30, 2014 and 2013, directcost related to registration of shares by shareholders in the quarter ended June 30, 2013 and severance cost related to a prior acquisitionincurred in the quarter ended June 30, 2014, we would have recorded an operating profit of $0.3 million in the quarter ended June 30, 2014 ascompared with an operating loss of $2.0 million in the quarter ended June 30, 2013.
Profit (Loss) for the period. As a result of the foregoing factors, our loss for the quarter ended June 30, 2014 was $4.0 million as compared toa loss of $9.1 million in the quarter ended June 30, 2013.
Diluted Earnings (Loss) per share. Diluted loss per share was $0.09 for the quarter ended June 30, 2014 as compared to diluted loss per shareof $0.24 in the quarter ended June 30, 2013.
Fiscal Year 2014-15 Outlook
The financial performance achieved in the fiscal first quarter of 2015, including the growth momentum achieved within our hotels & packagesbusiness during the holiday high season quarter, increases our confidence that we will be able to deliver on our strategic and financial targetsfor fiscal 2015. We are therefore narrowing the range of our fiscal year 2015 annual revenue less service cost guidance with a growth of 25%-28%, which is in the range of $133 million to $136 million.
