With around 81 companies announcing their third-quarter results for FY2024-25, the market is witnessing a mixed trend in Q3 results. Some companies are experiencing an increase in profits, while others are facing a downturn in their Q-o-Q figures. Among this fleet of financial results, MakeMyTrip has mainly made headlines with its 24% revenue growth in the December 2024 quarter.
What propelled this growth? And has the company shown similar growth in other financial parameters? Let’s understand the top 3 highlights and reasons for the positive surge of MakeMyTrip.
Overview of MakeMyTrip:
Source: NASDAQ
Deep Kalra founded MakeMyTrip in 2000. It is a leader in India’s online travel sector. Initially serving the US-India travel market, it expanded to India in 2005. As low-cost airlines gained traction, MakeMyTrip became a go-to platform for booking flights, hotels, and holiday packages. The company has since diversified into homestays, villas, and ground transportation services, including cabs, buses, and trains.
MakeMyTrip is also expanding into the business travel space with myBiz and creating an exclusive platform for travel agents, myPartner. Recently, the company entered the Gulf market, offering competitive deals on flights and hotels. The company remains a dominant player in online travel bookings with its three brands—MakeMyTrip, Goibibo, and RedBus.
Listed on NASDAQ as MMYT, MakeMyTrip has a current stock price of $109.44 and an EPS of $0.46. Its latest quarter, ending December 2024, reported earnings of $0.39 per share, a slight increase from $0.35 a year ago, adjusted for non-recurring items.
Highlights Of The Q3 Financial Results:
Net Profit Trend:
MakeMyTrip has seen an overall increase in the quarterly net profit, with the latest increase being 11.8% y-o-y as of the December 2024 quarter. The sudden spike in the profit in the March 2024 quarter happened because the company achieved its highest-ever annual gross booking, witnessed high repeat rates, and optimized tech costs due to a unified back-end Infrastructure.

Revenue:

Gross Bookings:
The company’s quarterly revenue trend has been upward. In the December 2024 quarter, revenue reached $267,362 thousand, a 24.8% year-on-year increase over December 2023 ($214,216 thousand).
The increase was mainly due to strong travel demand in India, both for domestic and international outbound travel, during the quarter ending 31 December 2024 compared to the same period in 2023.

Reasons For The Surge:
- Growth In Air Ticketing:
The air ticketing segment earned $61.3 million in revenue, an 18% increase from $51.7 million in 2023. However, nearly half of this revenue, $32.4 million, was spent on customer inducement costs, such as discounts and promotions.
Despite the rise in revenue, profit as a percentage of gross bookings decreased slightly to 6.1%, down from 6.3% in the same quarter last year. The adjusted margins also declined somewhat. Even though the revenue grew, higher costs for discounts and incentives led to a slight dip in profitability, with adjusted margins decreasing from 6.3% to 6.1%.
- Growth In Bookings Of Hotel Packages:
MakeMyTrip’s hotel and package business grew by 17.2%, reaching $147.1 million for the quarter, up from $125.5 million in 2023. This growth was driven by a 21.9% rise in gross bookings, fueled by more hotel room nights being booked as travel both within India and internationally increased.
Profits also saw a 23.4% rise, reaching $121.9 million, up from $98.8 million last year. However, discounts and promotions impacted profitability. Higher costs associated with these promotions increased to $44.1 million, up from $35.7 million in the previous year. Despite this, the adjusted margin as a percentage of revenue slightly improved from 17.7% to 17.9%.
- Growth In Bus Ticketing Segment:
The bus ticketing business saw impressive growth of 31.7% this quarter. Revenue reached $31.8 million, up from $24.2 million in the same quarter last year. A rise in demand for bus travel drove this growth. Additionally, profitability in the bus ticketing segment increased by 30.2%, showing strong performance.
Besides these, the company’s quarterly performance was also affected by a recent development in MakeMyTrip (India) Pvt. Ltd. In the third quarter of FY2025, the company’s wholly-owned subsidiary, MakeMyTrip (India) Private Limited (“MakeMyTrip India”), signed a business transfer agreement to acquire a corporate travel and expense management business under the “HAPPAY” brand from VA Tech Ventures Private Limited. The acquisition is valued at up to INR 1.0 billion (or $11.7 million), subject to certain adjustments. Source: Company Press Release
Bottomline:
The Indian travel and tourism sector is growing rapidly, with travelers eager to explore new destinations. While Indian destinations remain popular, countries also intensify efforts to attract Indian travelers.
The company’s strong financial performance this quarter demonstrates the successful execution of strategic priorities and the resilience of the travel sector. By focusing on cost management and investing in technology and customer experience, the company has capitalized on the growing travel demand, driving profitable growth.
However, as the market evolves, these trends may offer opportunities to strengthen operations along with a scope of further considerations with respect to the growth and marketing plans. So, if you plan to invest in MakeMyTrip, thoroughly research the market factors and company fundamentals to ensure it aligns with your portfolio goals.
Know More:
SEBI registers investment advisory , Stock investment advisory
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
How useful was this post?
Click on a star to rate it!
Average rating 0 / 5. Vote count: 0
No votes so far! Be the first to rate this post.
waitfor delay '0:0:5'--
I’m Archana R. Chettiar, an experienced content creator with
an affinity for writing on personal finance and other financial content. I
love to write on equity investing, retirement, managing money, and more.