Key Financial Figures

Full Year FY26 Performance (Consolidated):

  • Revenue from operations: ₹10,065 million (27% YoY growth)
  • Revenue Less Service Cost (RLSC/Gross Margin): ₹4,824 million (24.5% YoY growth)
  • Adjusted EBITDA: ₹917 million (37.5% YoY growth)
  • EBITDA: ₹855 million (53% YoY growth)
  • EBITDA to Gross Margin ratio: 17.73%
  • Profit After Tax: ₹468 million (28% YoY growth)
  • Cash flow from operations: ₹761 million (vs. ₹73 million in FY25)
  • Cash and cash equivalents + term deposits: ₹2,230 million as of March 31, 2026

Q4 FY26 Performance (Consolidated):

  • Revenue from operations: ₹1,890 million (14% YoY decrease)
  • Revenue Less Service Cost: ₹1,133 million (4% YoY growth)
  • EBITDA: ₹126 million (46% YoY decrease)
  • EBITDA to Gross Margin ratio: 11.15%
  • Profit After Tax: ₹82 million (46% YoY decrease)

Operational Metrics

Air Segment FY26:

  • Passenger volume: 5.395 million (2% YoY growth)
  • Gross bookings: ₹61,874 million (12% YoY growth)
  • Gross margin: ₹2,449 million (30% YoY growth)
  • Margin percentage: 3.96% (vs. 3.42% in FY24)

Hotels & Packages Segment FY26:

  • Room nights: 1.936 million (16% YoY growth)
  • Gross bookings: ₹16,578 million (27% YoY growth)
  • Gross margin: ₹1,534 million (37% YoY growth)
  • Margin percentage: 9.25% (vs. 8.60% in previous period)

Q4 FY26 Operational Highlights:

  • Gross bookings growth: 8.3% YoY
  • Air passenger volumes: 9.6% YoY growth (2x industry rate)
  • Hotel room nights: 36% YoY growth
  • Total transactions: 16.6% YoY growth
  • Corporate client additions: 55 new clients with annual billable potential of ₹2,709 million

Corporate Client Acquisition

  • FY26: 163 new corporate customers with annual billable value of ₹9,568 million (vs. 148 customers worth ₹7,475 million in FY25)
  • Customer retention rate: 97%
  • Mid-market segment identified as growth opportunity with dedicated sales team established in Q3

Impact of Geopolitical Events

  • Middle East conflict significantly impacted Q4 MICE and international corporate travel business
  • Several Q4 MICE and international group bookings cancelled or deferred to FY27
  • Estimated 20% higher run rates in Q1 FY27 compared to Q4 FY26
  • Shift observed from international to domestic programs partially offsetting impact

Business Segments Analysis

Corporate Travel (B2E):

  • IT services contribution reduced to 7-10% of business (from 20% in FY24)
  • Diversified into consulting, pharma, automobile sectors
  • Expense management solution launched with 8 new logos in Q3 and additional 8 in Q4
  • MICE business represents 15-17% of base account revenues

B2C Business:

  • Represents approximately 30% of gross bookings
  • Profitable with mid-to-high single digit operating margins
  • Not capital intensive, generates free cash flow

Technology and AI Initiatives

  • Migration to Google Cloud platform completed
  • API infrastructure enhanced for hotel content distribution
  • AI-powered servicing capabilities across consumer and corporate channels
  • MCP protocol development for LLM integration
  • Internal automation projects improving operational efficiency

Guidance and Outlook

  • Medium-term guidance: 20% RLSC CAGR and 30% adjusted EBITDA growth
  • Expect H2 FY27 to be materially stronger than H1 due to pent-up demand
  • ROCE target: High teens in next 3-4 years (current: ~6%)
  • Corporate credit card initiative underway with team in place

Cost Structure

  • People cost: ₹1,669.75 million in FY26 (vs. ₹1,481.98 million in FY25)
  • Increase due to salary inflation, technology teams, and mid-market sales teams
  • Other expenses increased due to affiliate commission (margin accretive)

Corporate Structure Update

  • THCL (holding company) sold 1.8% stake in February 2026 to fund legal costs
  • Multi-jurisdictional restructuring (India, Cyprus, Singapore, Cayman) ongoing
  • No further stake sales expected for restructuring costs

Q&A Highlights

  • MICE business impact: International transactions have 1:3.5 value ratio vs domestic
  • Air discount ratio improved from 61% of gross take in FY23-24 to 47-48% in FY25-26
  • Advertisement revenue not material to overall earnings
  • Working capital optimization focus with improved receivable days
  • Hotel realization decline in Q4 due to mix shift from MICE to affiliate/domestic business