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    MMYT
    Earnings call· Jun 2026(Q1 FY27)

    MakeMyTrip Q1 FY27 earnings call MMYT

    Aug 3, 2026 Source

    Executive summary

    MakeMyTrip Q1 FY27 — Strong Performance Amidst Headwinds, AI-Driven Efficiency

    MakeMyTrip delivered a strong Q1 FY27, navigating significant macro and geopolitical headwinds with diversified offerings. The company leveraged resilient domestic travel demand and non-air segments to offset softness in air ticketing, while AI investments are driving operational efficiencies and enhancing customer experience. Strategic moves like the India IPO filing aim to strengthen the balance sheet and enhance market presence.

    Highlights

    5

    • Gross booking value grew 19.9% YoY in constant currency terms.

    • Hotels and Packages adjusted margin grew 21.3% YoY in constant currency.

    • Bus ticketing adjusted margin grew 32.4% YoY in constant currency, with volume growth of 23.9%.

    • AI-powered customer support bot independently resolves over 50% of customer calls.

    • Ended the quarter with a strong cash and cash equivalent balance of $794 million.

    Concerns

    4

    • International flight departures witnessed a degrowth of 13% YoY.

    • Domestic departures were flat YoY.

    • Reported PAT for the quarter was $9.1 million, impacted by noncash interest and FX loss.

    • Working capital deployment increased due to corporate business growth and seasonality.

    Segment performance

    4
    SegmentRevenueYoYQoQMargin
    Air ticketing
    Adjusted margin grew due to strong ancillary attach and better unit economics, despite marginal volume decline from macro headwinds. Domestic departures were flat, while international flight departures saw a significant degrowth.
    Adjusted margin growth: 10.8% YoY in constant currencyVolume: marginally declinedDomestic departures: flat YoYInternational flight departures: -13% YoYDomestic air ticketing market share: 30%
    		———$98.5 million
    Hotels and Packages
    Strong volume growth, particularly in stand-alone hotels, benefited from a shift in leisure demand towards domestic travel. International hotel segment growth was impacted by the conflict, similar to international air.
    Gross booking growth: 19.6% YoYAdjusted margin growth: 21.3% YoY in constant currencyVolume growth: 19.9% YoYStand-alone hotels volume growth: 20.2% YoY
    		———$134.5 million
    Bus ticketing
    Continued strong growth, supported by elevated airfares driving consideration for ground transport, supply additions, wider route coverage, and India's highway infrastructure development.
    Adjusted margin growth: 32.4% YoY in constant currencyVolume growth: 23.9% YoY
    		———$51.8 million
    Other segment (Ancillaries)
    The ancillaries business is scaling up well, helping to capture a larger share of customer wallet by building attach of ancillary services.
    Adjusted margin growth: 27.2% YoY in constant currency
    		———$24.9 million

    Operational metrics

    26
    Gross booking value growth
    19.9%YoY
    Q1 FY27

    Overall company gross booking value growth.

    IFRS revenue growth
    16.1%YoY
    Q1 FY27

    Overall company IFRS revenue growth.

    Adjusted operating profit
    $51.4 million
    Q1 FY27

    Company-wide adjusted operating profit.

    Profitability margins
    1.8%
    Q1 FY27

    Profitability margins maintained as a percentage of gross booking.

    Cash and cash equivalent balance
    $794 million
    Q1 FY27

    Cash and cash equivalent balance at the end of the quarter.

    Buyback program deployment
    $7.8 million
    Q1 FY27

    Amount deployed in the buyback program during the quarter.

    Noncash interest cost on convertible bonds
    $29.3 million
    Q1 FY27

    Noncash interest cost on 0 coupon convertible bonds recognized in P&L.

    Translation-related foreign currency loss
    $5.1 million
    Q1 FY27

    Translation-related foreign currency loss for the quarter.

    Reported PAT
    $9.1 million
    Q1 FY27

    Reported Profit After Tax for the quarter.

    Adjusted net profit before tax
    $52.2 million
    Q1 FY27

    Adjusted net profit before tax for the quarter.

    Marketing and sales promotion expense
    5.4%vs 5.2% in previous quarter
    Q1 FY27

    Marketing and sales promotion expense as a percentage of gross booking, in line with seasonality.

    Active SME and MSME corporate customer count
    79,000+up 19% YoY
    Q1 FY27

    Growth in active corporate customers on the myBiz platform.

    Large corporate accounts
    550+
    Q1 FY27

    Number of large corporate accounts on the Quest2Travel platform.

    Myra conversations handled
    8 million+
    Q1 FY27

    Myra, the AI-powered travel assistant, handled a significant number of conversations, with strong adoption.

    AI-generated code
    75%
    Q1 FY27

    Percentage of code generated by AI, improving engineering velocity.

    AI-powered customer support bot resolution rate
    50%
    Q1 FY27

    Percentage of customer calls independently resolved by the AI bot, improving customer service efficiency.

    Domestic air departures
    flatYoY
    Q1 FY27

    Domestic air departures remained flat year-over-year.

    International flight departures
    -13%YoY
    Q1 FY27

    International flight departures saw a significant decline.

    Hotel accommodation options
    11,000+
    Q1 FY27

    Number of accommodation options available on the platform in India.

    Cities covered by hotel options
    2,070+
    Q1 FY27

    Number of cities in India covered by accommodation options.

    OneCircle properties
    13,000+
    Q1 FY27

    Initial network size for the OneCircle cross-network hotel rewards program.

    International experiences portfolio
    250,000+
    Q1 FY27

    Extensive catalog of tours and attractions in the international experiences portfolio.

    Domestic experiences portfolio
    3,000+
    Q1 FY27

    Number of products in the newly launched domestic experiences portfolio.

    Tours and activities bought while on trip
    1/4
    Q1 FY27

    Fraction of tours and activities purchased by customers while already on their trip.

    Convertible bonds (2028 maturity)
    $200 million
    2028

    First round of convertible bonds maturing in 2028.

    Convertible bonds (last year's issue)
    $1.4 billion
    last year

    Second round of convertible bonds issued last year.

    Industry KPIs

    1
    MetricValueDetails
    Gross bookings value room nights19.9%%

    Product announcements

    9
    ProductTypeDetails
    Myra 2.0launch
    AI-powered smart filterslaunch
    Guaranteed early check-in or guaranteed late checkoutlaunch
    OneCirclelaunch
    Star Host programlaunch
    Price Drop Protectionlaunch
    Visa Guidelaunch
    Seamless native flight booking experience on PhonePelaunch
    Comfort Scorelaunch

    Deals & partnerships

    2
    PhonePeReinitiated partnership to expand distribution footprint and reach a larger base of high-intent digital customers.

    Partnership for bus ticketing and seamless native flight booking experience powered by Goibibo brand within the PhonePe app.

    SEBI and stock exchangesConfidential filing of a pre-filed Draft Red Herring Prospectus for an initial public offering and listing of equity shares of MakeMyTrip India Limited.

    MakeMyTrip India Limited, a wholly owned subsidiary, filed for an IPO. MMT India will remain a subsidiary and be included in consolidated financials. Entities may evaluate alternatives for fungibility between India and US capital markets.

    Risks & headwinds

    5
    West Asia conflictQ1 FY27 (continuing impact)

    Disrupted flight operations, increased caution for international travel (particularly westbound routes).

    Mitigation: Diversified product offerings, alternative transport/accommodation options, focus on East/Far East destinations and domestic travel.

    Higher fuel costs and ATF pricesQ1 FY27 (continuing impact)

    Translated into elevated airfares, affecting westbound international travel and price-sensitive domestic air demand. Also affected airline profitability, leading to short-term capacity cuts.

    Mitigation: Focus on non-air ticketing segments, calibrating marketing investments, leveraging ground transport options.

    Weakening of RupeeQ1 FY27

    Impacted reported numbers, with a ~10% impact on YoY growth in Q1 FY27 due to currency movement (USD and INR depreciation).

    Mitigation: Constant currency growth numbers are presented as the best representation of health; no direct operational mitigation stated for FX impact on reporting.

    Domestic air supply easing and industry growth uncertaintyNear-term (Q2 FY27)

    DGCA data shows potential for higher drop in segments for JAS season; flights industry seeing degrowth (almost -2% in market).

    Mitigation: Focus on growth from non-flight segments (holidays, hotels, packages, bus ticketing), leveraging diversified offerings, increasing market share during turbulent times.

    Working capital deploymentQ1 FY27

    Cash from operations was down due to increased working capital deployment.

    Mitigation: Attributed to growth in B2B corporate business (myBiz) and seasonality (lower advances in Q1); implies a natural consequence of growth and seasonal patterns rather than a specific mitigation.

    What to watch in Q2 FY27

    5

    Myra 2.0 end-to-end booking traction

    next quarter / 1-2 quarters down the line
    CurrentEarly days, just about started to come
    TargetMore color on consumer adoption and scale-up

    Why it matters

    Indicates the success of AI-driven conversational commerce and its potential to improve conversion and customer experience.

    As far as end-to-end booking, which is just a very recent launch, it's early days💬 on that, and that is going to be largely start with Myra and don't really go to the existing funnel and complete the transaction completely on Myra in the same interface, either using text chat or voice complete voice interaction or voice come text chat. That part is early. So there, the traction has started to just about started to come. We will have to see, I think 1 quarter, 2 quarters down the line, we should be able to give you more color on that.

    Q&A highlights

    5

    Given the ongoing Iran conflict and higher fuel prices, what is the outlook for domestic air supply and overall travel consumption? Can the company maintain 20%+ constant currency growth, or will domestic air supply impact it?

    Domestic air segment growth is uncertain, with potential for higher drop in segments. The company is focusing on diversified transport options and non-flight segments (holidays, hotels, bus ticketing) to maintain growth trajectory. Underlying travel intent remains strong, with quick recovery observed after initial disruptions.

    “But overall, directionally, that will be the intent to kind of keep it largely in line with the trajectory. The only exception could be 1 quarter here and there. But in general, we should be sort of continue to keep driving that.”

    asked by Sachin Salgaonkar · answered by Mohit Kabra

    2 min read5 chapters

    Detailed Narrative

    01

    Impact of External Events and Travel Resilience

    The quarter was significantly influenced by external events, including the West Asia conflict and elevated fuel costs, which disrupted flight operations and increased airfares, particularly for westbound international travel. Despite these challenges, the underlying resilience of Indian travel demand, especially for leisure, remained strong. Customers shifted towards domestic destinations, short-duration holidays, and pilgrimage travel, leveraging MakeMyTrip's comprehensive product offerings across hotels and ground transport.

    02

    AI-First Transformation and Product Innovation

    MakeMyTrip is pursuing an AI-first transformation, integrating AI across travel discovery, planning, booking, payments, servicing, and loyalty. The company launched Myra 2.0, an AI-powered travel assistant, enabling end-to-end conversational booking in 8 Indian languages. Myra handled over 8 million conversations during the quarter, with 45% usage from Tier 2 cities. AI also generates over 75% of code and resolves over 50% of customer support calls, driving engineering velocity and customer service efficiency.

    03

    Growth in Non-Air Segments

    Growth in hotels and packages and ground transport helped offset softness in air ticketing. Hotels and packages saw adjusted margin growth of 21.3% YoY in constant currency, driven by stand-alone hotel booking volumes growing 20.2%. Bus ticketing delivered strong adjusted margin growth of 32.4% YoY in constant currency, supported by 23.9% volume growth. Intercity cabs also grew in the 40s, albeit from a smaller base, demonstrating the strength of the diversified platform.

    04

    Strategic Initiatives and Capital Allocation

    MakeMyTrip India Limited confidentially filed a Draft Red Herring Prospectus for an IPO with SEBI, aiming to strengthen the cash position and support long-term growth, strategic inorganic initiatives, and security repurchases. The company also deployed $7.8 million in its buyback program during the quarter. Management is exploring options for fungibility between the India and US listed entities post-IPO, subject to regulatory changes.

    05

    Market Share and Customer Acquisition Focus

    Despite a challenging environment for flights, MakeMyTrip maintained a leading 30% share of the domestic air ticketing industry. The company is focused on increasing market share across non-flight segments, including hotels and ground transport, by investing in customer acquisition and tech capabilities. New partnerships, such as the reinitiated PhonePe collaboration, are expanding distribution and reaching a larger base of high-intent digital customers.

    AI-generated summary of the company’s earnings call. Not investment advice.