Business

MakeMyTrip Q2 loss narrows to $12.9 million

Updated : October 28, 2020 09:00 AM IST

Leading online travel firm MakeMyTrip on Tuesday said its adjusted operating loss narrowed to USD 12.9 million (around Rs 95 crore) in the second quarter ending September 30. The company had reported adjusted operating loss of USD 19.3 million (over Rs 140 crore) for the corresponding period previous fiscal, MakeMyTrip said in a statement.

The company's revenue stood at USD 21.1 million (over Rs 155 crore) in the quarter under consideration, compared to USD 118 million (over Rs 869 crore) in the same quarter last fiscal, it added. "Our results for the 2Q21 have continued to be significantly and negatively impacted by the COVID-19 pandemic and the resulting economic conditions," MakeMyTrip said.

However, since the government-imposed nationwide lockdown gradually started to ease in late May, the company witnessed a gradual recovery in travel demand, with sequential month on month improvements across all lines of business, it added.

"MakeMyTrip has begun its journey of business recovery after India's nationwide lockdown orders began to be lifted since May'20. "We are well poised operationally and financially, with ongoing product and technology innovations to offer superior customer experience as we recover from the severe travel demand disruption caused by COVID-19 in the coming quarters," MakeMyTrip Group Executive Chairman Deep Kalra said.

Currently, in the hotel segment, almost 50 percent of the properties across MakeMyTrip's network have resumed operations, and "we are seeing domestic demand recovering to almost 30 percent so far during this festive season," the statement said. The hotel demand recovery is currently led by short-stay getaway vacations, great travel deals and naturally hygienically safe properties, it added.

Regarding the flight segment, "we are noticing sequential improvements in seat capacity and demand in the domestic air market since the unlocking took place in June," the statement said.

Since exiting the lockdown, "we have seen buyers' behaviour changing even more in favour of booking online, resulting in our market share improving by 240 basis points in September when compared to February," it added. In the bus segment as in the other lines of business, "we have seen a gradual, but steady recovery in terms of supply and demand since the unlocking took place in June," the company said.

MakeMyTrip Q2 loss narrows to $12.9 million

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