MakeMyTrip Limited (MMYT)
Description
A leading online travel service provider in India offering flight bookings, hotel packages, bus and rail tickets, car rentals, and ancillary services through web and mobile platforms.
Historical Reports
Financial Information
- Report Date
- 2025-06-30
- Report Period
- Fiscal Year ended March 31, 2025
- Debt
- USD 2.3 billion (convertible senior notes due 2028) and USD 0.22 billion (bank borrowings)
- Debt History
- Bank borrowings increased by approx. 7.7% YoY, while the USD 2.3 billion convertible notes remained unchanged.
- Debt Trend
- Increasing
Profit Information
- Profit
- USD 953.0 million net profit for FY 2025
- Profit History
- Adjusted net profit increased by approx. 30% from USD 1.372 billion in FY 2024 to USD 1.782 billion in FY 2025.
- Profit Trend
- Increasing
Detailed Report
MakeMyTrip Limited Annual Report Summary
Report Date: 2025-06-30
Period Covered: Fiscal Year ended March 31, 2025
Form Type: 20-F
1. Financial Highlights
- Revenue: USD 978.3 million, up 25.1% YoY (constant currency).
- Net Profit: USD 953.0 million vs. USD 2,167.0 million last year (reported IFRS).
- Adjusted Net Profit: USD 1.782 billion, up 30% YoY.
- Adjusted Operating Profit: USD 1.673 billion vs USD 1.242 billion.
- Gross Bookings: USD 9.803 billion, up from USD 7.954 billion.
2. Profit & Debt Analysis
Profit Drivers:
- Strong rebound in domestic & outbound travel.
- Higher mix shift to premium hotel packages (higher margin).
- Operating leverage on fixed-cost technology platform.
Headwinds:
- Airline commission cuts and elevated marketing spend.
- Forex volatility (INR depreciation vs. USD).
Debt Profile:
- Convertible Senior Notes (zero-coupon, due Feb 2028): USD 2.3 bn.
- Bank Borrowings: USD 0.22 bn (up 7.7% YoY).
- Leases & Other: USD ~0.02 bn.
3. Reasons for Profit Increase/Loss
- Profit Increase:
- Adj. margin up 1-2 points, driven by hotel packages + bus segment.
- One-time tax credits: USD 126.1 million deferred‐tax asset recognition.
- Profit Reduction (reported IFRS):
- Prior‐year non-cash FX gain (change in note fair value).
- Higher depreciation & amortization from tech builds.
4. Pros & Cons
Pros:
- Market leadership in India’s expanding online travel sector.
- Diversified platform: flights, hotels, buses, rail, cars, fintech services.
- Scalable AWS-hosted technology with integrated CRM & payment solutions.
Cons: - Margin pressure from airline commission cuts & cashback incentives.
- Regulatory & tax uncertainties in India (GST, FDI rules).
- FX risk (INR-USD) and potential interest-rate hikes.
Statistics Breakdown
FY 2025 Key Metrics by Segment
| Segment | Gross Bookings | Adjusted Margin (%) | Transactions |
|---|---|---|---|
| Flights | USD 5.868 bn | 17.8% | 58.7 million segs |
| Hotels | USD 2.417 bn | 17.8% | 37.0 million nights |
| Buses | USD 1.249 bn | 10.5% | 106.5 million tickets |
| Other Services | USD 0.358 bn | 7.2% | – |
Adjusted Margin = Revenue + Marketing Incentives – Service Cost
Cash Flow: Operating cash inflow of USD 185.3 million vs USD 125.7 million in FY 2024.
Company Direction Insights
Growth Trajectory & Future Opportunities
- India’s internet and mobile penetration still sub-20% in travel, implying multi-year growth runway.
- Strategic focus on high-margin hotel packages, corporate travel (MyBiz, Happay) and fintech services (TripMoney, BookForex) to boost ROIC.
- Continued technology investment: AI-driven personalization, mobile-first features, unified platform across brands (MakeMyTrip, GoIbibo, RedBus).
Financial Health Indicators
- Strong adjusted operating profit conversion at 17% of gross bookings.
- Net cash position of USD 0.54 billion (after USD 2.3 bn in notes & USD 0.22 bn bank debt).
- Deferred-tax asset of USD 106.4 million recognized, reflecting confidence in profit sustainability.
Risks & Challenges
- Regulatory/tax changes (GST, FDI, consumer protection) pose compliance risk & cost.
- Airline industry consolidation & commission cuts may compress flight margins.
- Macro-sensitivity: INR depreciation vs USD and potential credit cost inflation.
Outlook
- Expect mid-teens revenue growth with improving adjusted margins as cost efficiencies and mix shift to higher-margin segments take hold.
- Leverage 2025 consolidation of MakemyTrip, GoIbibo and RedBus brands to cross-sell products and deepen engagement.
- Prudent capital allocation: focusing on organic growth and selective M&A in adjacent travel-tech verticals.