RateGain Travel Technologies (RATEGAIN) Q4 21/22 earnings summary

Executive summary

• FY22 consolidated revenue rose 46.17% YoY to INR 3,665.91 million; adjusted EBITDA reached INR 376.81 million and adjusted PAT turned positive at INR 317.94 million.

• Recovery in travel volumes to pre-pandemic levels, customer expansion and strong MarTech growth supported performance; the December 2021 IPO strengthened the balance sheet.

Financial highlights

• Consolidated operating revenue was INR 3,665.91 million vs INR 2,507.93 million in FY21; total income was INR 3,831.13 million vs INR 2,640.91 million.

• Adjusted EBITDA was INR 376.81 million vs INR 236.73 million; PBT before exceptional items was INR 117.80 million vs loss of INR 246.28 million.

• Adjusted PAT was INR 317.94 million vs loss of INR 54.84 million; reported consolidated PAT was INR 84.19 million vs loss of INR 285.75 million.

• Consolidated basic/diluted EPS was INR 0.84/0.83 vs loss per share of INR 3.09 in FY21; IPO expenses of INR 9.43 million were reported as exceptional.

Outlook and guidance

• Growth priorities include scaling DaaS and Distribution through cross-selling and geographic expansion, accelerating MarTech, and developing AI-enabled products and adjacent verticals.

• IPO proceeds include INR 2,447.98 million pending utilization for strategic investments, acquisitions, technology innovation, data-center equipment and general corporate purposes.

• Leisure is expected to drive 82% of travel demand in coming years; third-party travel and hospitality technology spend is projected to grow at 18% CAGR through 2025.