TBO Tek (TBOTEK) Q1 24/25 earnings summary

Executive summary

• Q1 FY25 saw strong growth across all KPIs, with active agent base reaching 35,194 and net profit rising to INR 61 crore from INR 47 crore year-over-year.

• EPS reached Rs 5.85, up 24% year-over-year, aligning with business plans for Q1 2024-25.

• All key KPIs showed healthy growth, with significant improvement in hotel segment saliency (+10.3% YoY).

• Jumbonline acquisition contributed significantly to GTV and revenue, with integration progressing well and new leadership onboarded for international expansion.

• Unaudited consolidated and standalone financial results for the quarter ended June 30, 2024, were reviewed and approved by the Board on August 13, 2024.

Financial highlights

• Revenue from operations grew 21% year-over-year to INR 418 crore; GTV increased by 14% year-over-year.

• Adjusted EBITDA was INR 85 crore with a margin of 20.33%; PAT stood at INR 61 crore with a PAT margin of 14.56%.

• Gross profit for Q1 was INR 280 crore, up 25% YoY; take rate at 5.27%.

• Cash & bank balance was INR 1,188 crore, including INR 381 crore from IPO proceeds.

• Basic EPS (consolidated) for Q1 FY25 was INR 5.85, up from INR 4.71 in Q1 FY24.

Outlook and guidance

• Expect stronger organic growth in international business in Q2 FY25 due to seasonality and timing of holidays.

• Full-year effective tax rate projected at 17.5%, with Jumbo Online taxed at a higher rate.

• Wage hikes to be effective from July, impacting Q2 results.

• IPO proceeds are earmarked for platform growth, technology, marketing, and inorganic acquisitions, with unutilized funds temporarily invested in fixed deposits.

• India operations expect continued margin expansion and strong EPS growth, despite a temporary aviation slowdown.