Q3 & 9M FY25 Financial Results & Business Update
- Strong growth in hotel segment and ancillaries, both in India and international markets.
- Broad-based growth in international business with Europe, Middle East and Latin America demonstrating particularly strong traction.
- AI & Technology investments yielding results.
- Outbound calling automation – 5x speed at ~50% cost vs. manual process in trials.
- 45% of supplier notifications being automatically handled with 99.5% accuracy.
- NPS score of 70 for international market demonstrating service excellence
- Geographical expansion continues as per plan. New legal entities set up in Indonesia, Greece & Israel in the quarter to support future growth in the region.
TBO Tek Limited, a global travel distribution platform, has announced its unaudited financial results for Q3 & 9M FY25 today. The company is among the top four B2B distribution platforms in the market (source: HBX Group prospectus).
Consolidated Financial Performance for Q3 FY25 v/s Q3 FY24 [YoY Growth]
- GTV of Rs. 7,166 Cr v/s Rs. 5,678 Cr [+ 26% YoY]
- Revenue from operations of Rs. 422 Cr v/s. Rs. 327 Cr [+ 29% YoY]
- Adjusted EBITDA of Rs. 75 Cr v/s. Rs. 59 Cr [+ 26% YoY]. Margins at 18%
- PAT of Rs. 50 Cr v/s. Rs. 51 Cr [-2% YoY]. Lower PAT primarily due to Rs. 12.5 Cr Forex Loss triggered by sharp movement in USD against other major currencies.
Consolidated Financial Performance for 9M FY25 v/s 9M FY24 [YoY Growth]
- GTV of Rs. 23,044 Cr v/s Rs. 19,025 Cr [+ 21% YoY]
- Revenue from operations of Rs. 1,291 Cr v/s. Rs. 1,024 Cr [+ 26% YoY]
- Adjusted EBITDA of Rs. 250 Cr v/s. Rs. 201 Cr [+ 25% YoY]. Margins steady at 19%
- PAT of Rs. 171 Cr v/s. Rs. 154 Cr [+ 11% YoY]. PAT margins at 13%
*All numbers have been rounded off
Key Business Updates
Strong growth in Hotels & Ancillaries segment, both in India and international markets. Hotel saliency is growing in the business, supported by company initiatives.
- H-Next, our next-gen booking engine is being rolled-out to users in a phased manner. Seeing strong conversion up-tick in relevant cohorts.
- AI enabled smart search available on the platform. Allows faster searches with relevant results to surface based on user input without manual input.
- AI-powered Voice bot for outbound calling processes now live. Initial trials indicate that it is 5x faster at 50% cost with equivalent or better-quality output compared to manual process.
- AI driven automatic handling of supplier notifications launched. Already 45% of the notifications are now automatically processed with 99.5% accuracy.
Management Commentary
Mr. Ankush Nijhawan, Co-founder and Joint MD, TBO Tek Limited said, “We are pleased to have delivered a robust third quarter in our Hotels & Ancillaries segment. The saliency of our hotel and ancillaries segment continues to grow. We are looking to further drive share of wallet growth and cross-sell through initiatives like Platinum Desk for top Hotels and Ancillaries accounts. With 120 new airports connectivity in pipeline under UDAN initiative as per Budget 2025 and increase in TCS threshold to Rs. 10 Lakhs, outbound travel is expected to get a boost.”
Mr. Gaurav Bhatnagar, Co-founder and Joint MD, TBO Tek Limited said, “We continue to deliver strong double-digit business growth in all International source markets. While the growth has been broad-based, contribution from Europe was especially strong. Company’s Tech and AI initiatives are bearing results along expected lines and helping drive better user experience – reflected in our NPS Score. This gives us the confidence to fast-track our planned investments and pursue geographic expansion in the identified regions.”
The TBO platform connects around 185K Buyers across more than 150 countries with over one million Suppliers. TBO simplifies the business of travel for suppliers such as hotels, airlines, car rentals, transfers, cruises, insurance, rail and others, and retail buyers such as travel agencies and independent travel advisors; and enterprise buyers that include tour operators, travel management companies, online travel companies, super-apps and loyalty apps through their two-sided technology platform that enables Suppliers and Buyers to transact seamlessly with each other. TBO’s platform allows the large and fragmented base of Suppliers to display and market inventory to, and set prices for, the large and fragmented global Buyer base. For Buyers, the platform is an integrated, multi-currency and multi-lingual one-stop solution that helps them discover and book travel for destinations worldwide, across various travel segments such as leisure, corporate and religious travel.
