Mondee (MOND) investor relations material

Executive summary

• Q2 2024 net revenues reached $58.3M, up 3% year-over-year, with adjusted EBITDA rising 38% to $6.1M and margin expanding to 10.5%.

• Transactions grew 57% year-over-year to over 1.1 million, driven by international expansion and non-air product growth.

• Non-air revenue mix increased to 47% of net revenue, up from 42% year-over-year.

• Comprehensive refinancing extended term loan and preferred equity maturities, enhancing long-term financial flexibility.

• Net loss widened to $25.5M, including $19.1M in non-cash or non-recurring items.

Financial highlights

• Gross bookings for Q2 2024 were $678M, flat year-over-year due to lower average transaction values.

• Take rate improved by 20 basis points to 8.6%, driven by higher-margin hotel and package products.

• Adjusted EBITDA margin increased to 10.5% from 7.8% in Q2 2023.

• Sales and marketing expenses declined to 65% of net revenue from 71% year-over-year.

• Free cash flow for H1 2024 was $3.3M, a significant improvement from $(16.9)M in H1 2023.

Outlook and guidance

• FY 2024 net revenues expected between $240M and $250M, up 10% at midpoint versus 2023.

• Adjusted EBITDA guidance for 2024 is $25M–$30M, up 42% at midpoint.

• Expectation for average revenue per ticket to stabilize at $50–$55 in 2024 and rise to $60–mid-$60s in 2025.

• Guidance reflects impact of working capital and FinTech credit constraints due to refinancing delays.

• Long-term targets include mid-teens take rate and adjusted EBITDA margin of 30%+.