MakeMyTrip swings to profit, to acquire Savaari Car Rentals
MakeMyTrip announced on Tuesday that its wholly-owned subsidiary, MakeMyTrip (India) Private Limited has entered into an agreement to acquire a majority interest in Savaari Car Rentals Private Limited, provider of inter-city car rental services in India.
“The transaction is expected to be completed prior to December 31, 2023.
This acquisition is intended to expand our presence in the inter-city car rental market in India,” the company said, while declaring its quarter two results.
MakeMyTrip reported gross bookings of $ 1.8 billion for quarter two of financial year 2024, up 24% year on year.
The company reported a profit of $2 million compared to a loss of $6.8 million in the corresponding period of the previous fiscal.
MakeMyTrip said it clocked an adjusted operating profit of $28.2 million in quarter two of financial year 2024, compared to $15.1 million in quarter two of financial year 2023, registering a growth of 87% year on year.
Rajesh Magow, group CEO of MakeMyTrip, said while the second quarter of the fiscal year tends to be a seasonally weaker period for leisure travel, the company reported strong year on year revenue growth and expansion in adjusted operating profit.
In an earnings call, Magow said the domestic air ticketing business had recovered a few quarters back and continues to grow well.
“This quarter our international air ticketing business surpassed the pre-pandemic levels for the first time, which is encouraging,” he said. “All short-haul destinations have either grown beyond or recovered to pre-pandemic levels now and travel to long-haul destinations is also recovering rapidly now,” he added.
He said hotels and international room nights growth picked up strongly during the quarter under
