TBO Tek (TBOTEK) Q2 24/25 earnings summary

Executive summary

• Q2 FY25 saw strong year-on-year growth in monthly transacting buyers (+6%), GTV (+24%), revenue (+28%), and gross profit (+35%), led by the hotels segment, which now accounts for 59% of GTV, 79% of revenue, and 84% of gross profit.

• Both India and international operations contributed to hotel segment growth, with gross profit up 26% YoY in India and 49% YoY internationally.

• Active agent and booker base increased, supporting sustained business growth.

• Board expanded to 9 members, with new directors appointed to strengthen governance.

• Unaudited consolidated and standalone financial results for the quarter and half year ended September 30, 2024, were approved and released, with statutory auditors issuing an unmodified review conclusion.

Financial highlights

• Q2 FY25 consolidated revenue from operations was INR 4,506.92 Mn (INR 450.7 Cr), up 27.9% YoY; H1 FY25 revenue was INR 8,691.56 Mn (INR 869.2 Cr), up 24.7% YoY.

• Q2 gross profit was INR 306 Cr, up 35% YoY; H1 gross profit was INR 573.2 Cr, up 30% YoY.

• Adjusted EBITDA for Q2 was INR 90 Cr (+24.5% YoY), margin 19.9%; PAT was INR 60.1 Cr (+7.1% YoY), margin 13.33%.

• Basic EPS (consolidated) for Q2 FY25 was INR 5.71, up from INR 5.54 in Q2 FY24.

• Net worth stood at INR 1,075.9 Cr and cash/bank balances at INR 1,372.8 Cr as of September 30, 2024.

Outlook and guidance

• Management expects to maintain growth momentum in international markets, with Q3 typically being seasonally weaker.

• Focus remains on increasing hotel segment saliency and leveraging AI for dynamic pricing and customer support.

• IPO proceeds are being utilized for technology, platform growth, and general corporate purposes, with INR 3,444.86 Mn unutilized as of September 30, 2024.

• No specific quantitative guidance provided, but focus remains on sustaining current growth rates.