Release Date: November 14, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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Easy Trip Planners Ltd (BOM:543272) reported a 178% year-on-year growth in the hotel and holiday package segment, highlighting successful diversification efforts.
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The company’s Dubai operations have shown remarkable progress, reflecting successful international expansion.
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The launch of India’s first meta search engine, Scan My Dotcom, is expected to empower OTAs and small service providers, enhancing the digital travel ecosystem.
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Easy Trip Planners Ltd (BOM:543272) has formed strategic partnerships, including an exclusive agreement with PhonePe, enhancing convenience for millions of users.
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The company was honored as the Best Online Travel Portal of India and won the Best OTA award at the Global Tourism Awards 2024, showcasing industry recognition.
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The company’s PAT for Q2 FY25 reduced by almost half compared to the previous year, primarily due to increased marketing and employee expenses.
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Promoters have sold 25% of their stake since March 2023, raising concerns about insider confidence.
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The airline ticketing business faced pressure with a slight decline in take rates year-on-year, impacting overall profitability.
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There is a lack of clarity on the future contribution of new ventures like electric bus manufacturing to the company’s top line.
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The share price has remained stagnant despite business growth, and there is negligible institutional investor interest.
Q: The PAT for Q2 FY25 has almost halved compared to Q2 FY24. What are the reasons for this, and will the pressure continue? Also, why have promoters sold 25% of their stake since March 2023? A: The PAT reduction is due to the addition of three subsidiaries, leading to increased employee and marketing expenses without corresponding revenue growth. Marketing expenses rose by 11 crores due to various promotions. Regarding promoter stake, the family remains committed, still holding over 50% of the company, aligning interests with shareholders.
Q: Is Easy Trip Planners considering another acquisition, and if so, is it related to the current business or a new venture? A: Details about potential acquisitions will be disclosed after board discussions. Currently, no further information can be provided.
Q: Regarding the electric bus manufacturing business, will there be collaborations with existing companies, or will it rely solely on internal R&D? A: We are leveraging available resources and have been in discussions with government agencies and private companies for electric bus supply. The focus is on meeting demand rather than reinventing the wheel.