ixigo Q1 profit rises 81% to Rs 34.2 crore

The Story in Brief

Traveltech company ixigo reported a consolidated net profit of Rs 34.2 crore for Q1 FY27, up 81% from a year earlier and 7% from the previous quarter. Operating revenue rose 13% year on year to Rs 356.8 crore, while total income reached Rs 385.9 crore. Expenses increased 15% to Rs 337.8 crore, and the company recorded an additional Rs 4 crore loss from an associate. EBITDA rose 65% to Rs 53.5 crore. Bus gross transaction value grew 39%, while flights, ixigo’s largest contributor, grew 27% despite fare inflation linked to the West Asian conflict.

The board approved Rs 36.4 crore for an additional 11% stake in train food delivery company Zoop, taking ixigo’s holding to 73% after conditions are met. It also approved a Rs 2.4 crore investment in its Singapore subsidiary. ixigo said its hotels business was its fastest-growing vertical after its Rs 65.7 crore Brevistay acquisition. Shares closed 1.32% lower at Rs 201.70 on the BSE.

The Indian Opinion

The easy narrative is that a sharp profit jump proves ixigo has solved its growth challenge. The opposite claim, that higher spending signals weakness, is just as selective. Revenue and EBITDA rose, but expenses grew faster than revenue and flights face risks from fares and oil prices. The hotel push and Zoop purchase also require execution, not announcements. Investors should watch whether profit growth holds after these investments and whether operating revenue keeps growing faster than expenses.

Source: inc42.com

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