Ixigo Reports 13% Increase in Q1 Revenue and 81% Jump in Profit Driven by Bus Segment Expansion

Le Travenues Technology, the parent company of the online travel platform Ixigo, announced a 13% year-on-year rise in operating revenue for the first quarter of fiscal year 2027, with net profit surging 81%, largely due to robust growth in its bus segment.

The Gurugram-based firm recorded revenue from operations of Rs 356.75 crore for Q1 FY27, up from Rs 316.05 crore in the same quarter of the previous year. Profit after tax reached Rs 34.24 crore, compared to Rs 18.94 crore in the corresponding period last year. Additionally, gross transaction value (GTV) grew 19% year-on-year to Rs 5,524.33 crore.

Company Performance and Market Environment

Aloke Bajpai, chairman, managing director, and group CEO of Ixigo, highlighted that despite an unfavorable external environment, the company’s diversified platform continued to expand. The company maintained profitability across its scaled businesses and increased its market share in all segments during this period.

However, the company faced challenges from geopolitical tensions linked to the Iran conflict, increased airfares, airline capacity reductions, and policy shifts affecting online train ticket bookings, impacting the aviation and rail sectors.

Strong Growth in Bus Segment

Ixigo’s bus business emerged as the strongest growth area, with GTV rising 39% year-on-year to Rs 947.43 crore. Passenger numbers in this segment increased by 33%, contributing Rs 54.22 crore to the group’s contribution margin.

Bajpai noted this vertical has become the largest contributor by margin within the company, growing faster than the overall market, due to expanded supply, product innovations, and market share gains.

Flight Business and Other Segment Highlights

In contrast, the flight business experienced a 27% year-on-year increase in GTV to Rs 2,341.84 crore, with flight bookings up 4%. Bajpai expressed cautious optimism regarding short-term passenger growth in aviation, attributing concerns to capacity cuts by airlines such as Air India and IndiGo, which may pressure the market until the festive season.

During the quarter, Ixigo achieved milestones including surpassing 500,000 booked room nights and expanding its direct hotel network to over 10,000 properties across 700 towns. The company also completed acquiring a 54.66% stake in Brevistay, marking its entry into the flexible-stay accommodation sector.

Financial Metrics and Investments

Despite increases in revenue and profit, adjusted EBITDA declined by 7% year-on-year to Rs 29.24 crore. This decline is attributed to increased investments in the hotel segment and artificial intelligence initiatives.

Key Takeaways

  • Ixigo’s Q1 FY27 operating revenue rose 13% year-on-year to Rs 356.75 crore.
  • Net profit surged 81% to Rs 34.24 crore, driven mainly by bus segment growth.
  • Bus segment GTV increased 39%, becoming the largest margin contributor.
  • Flight business GTV grew 27%, though passenger growth remains cautious due to airline capacity cuts.
  • Company expanded hotel network and entered flexible-stay market through Brevistay acquisition.
  • Adjusted EBITDA declined 7%, reflecting increased investments in growth initiatives.