OYO‘s parent company, Oravel Stays Ltd, has announced a net profit of INR 158 crore (approximately $19.5 million USD) for the July-September quarter. This is a 19.6% increase from the previous quarter’s profit of INR 132 crore.
OYO’s H1 FY25 net profit hits INR 291 Cr
According to INC42, OYO’s CEO Ritesh Aggarwal shared the numbers during a town hall today. This brings the total net profit for the first half of FY25 to INR 291 Cr, a big recovery from the net loss of INR 91 Cr in the same period last year. This improvement is due to OYO’s focus on premiumisation with new company-serviced hotels under the Townhouse, Collection O, Palette, and Sunday brands.
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Meanwhile, the company’s revenue climbed to INR 1,578 Cr in Q2 FY25, a 12% increase from INR 1,413 Cr in Q1 FY25. Additionally, OYO’s EBITDA reached INR 266 Cr in Q2, a 27.4% rise from INR 174 Cr in the previous quarter (Q1 FY25).
OYO GBV rises to INR 3,242 Cr in Q2 FY25
Furthermore, OYO’s Gross Booking Value rose to INR 3,242 Cr in Q2 FY25 from INR 3,048 Cr in Q1 FY25, a 17% increase from the INR 2,767 Cr in the same quarter last year. A source close to the company said, “In a sense, OYO’s quest of profitability has been similar to some of the new age platform companies with Zomato delivering Q2 FY25 PAT of INR 176 Cr, Makemytrip reported PAT Q1FY25 of INR 174 Cr ($21 Mn).”
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With these Q2 results, OYO will report eight straight quarters of positive Adjusted EBITDA. In August, the company said it had its first profitable fiscal year in FY24 with a profit after tax (PAT) of INR 229.57 Cr. In the previous month, OYO announced it bought G6 Hospitality, the parent company of Motel 6 and Studio 6 brands, from Blackstone Real Estate for $525 Mn (around INR 4,382.72 Cr) in an all-cash deal.
Due to recent acquisitions, sources say OYO expects to surpass INR 2,000 Cr in EBITDA in FY26, boosting its topline. This acquisition marks OYO’s expansion in the US since launching there in 2019. The company also aims to strengthen its presence in Europe, where it earns more due to larger ticket sizes.
Looking ahead, OYO is getting ready to go public again after delaying its IPO plans twice. The company plans to refile its DRHP with SEBI after refinancing its $660 Mn Term Loan B.
