In a remarkable demonstration of growth and profitability, online travel aggregator ixigo has reported an impressive revenue surge for Q2 FY25. The company posted a 26% year-on-year growth in revenue, reaching Rs 206.5 crore compared to Rs 163.9 crore in the same period last year. Profitability also surged, with ixigo recording a Profit After Tax (PAT) of Rs 13 crore.
ixigo’s Winning Formula: Revenue and Growth
During the quarter, ixigo leveraged its vast train and flight ticketing services, catering to over 250 million users across India. The company’s ability to maintain rapid growth while optimizing operational efficiencies has driven the staggering increase in earnings. According to CEO Aloke Bajpai, much of this success can be attributed to strong product improvements and their expanding share in the growing online travel market.
Strategic Acquisitions Powering Expansion
In addition to robust organic growth, ixigo’s strategic moves have been pivotal. Recently, the company entered the food delivery space with its acquisition of Zoop, a train food delivery service. This acquisition is part of ixigo’s broader strategy to enhance the overall travel experience for users, providing not only ticket booking services but also value-added options like meal pre-orders directly to train berths. This move aligns with their efforts to penetrate deeper into the travel ecosystem, optimizing every stage of the customer journey.
Profitability Soars Amid Industry Growth
ixigo’s strong growth metrics reflect the broader recovery of the travel industry post-pandemic, with an increasing number of travelers resuming normal activity. Despite seasonal slowdowns, ixigo has shown an ability to outpace the market, with adjusted EBITDA rising sharply by 326% YoY to Rs 21 crore. The company also witnessed significant cash flow growth, reporting Rs 70.4 crore in cash flows from operations in H1 FY25—a 262% increase YoY.
The Road Ahead
With continued investments in technology, user acquisition, and an expanding set of travel-related services, ixigo looks poised for sustained success. As the company leverages its synergies and capitalizes on growing user demand, the coming quarters promise further profitability and expansion.
Source: This article is based on information from YourStory and KonexioNetwork.
Key Highlights:
- ixigo posted a 26% YoY revenue growth for Q2 FY25, reaching Rs 206.5 crore.
- Profit After Tax (PAT) stood at Rs 13 crore, reflecting strong profitability.
- The company saw a 326% YoY jump in adjusted EBITDA to Rs 21 crore.
- ixigo recently acquired Zoop to expand into train food delivery services.
