MakeMyTrip’s Q1 beats travel headwinds

MakeMyTrip delivered a strong performance in the first quarter of FY27 despite a difficult operating environment, with growth driven by its diversified travel businesses even as multiple external events weighed on travel demand.

The company said travellers, particularly leisure travellers, shifted to alternative choices during the quarter, helping it maintain momentum despite macroeconomic disruptions and headwinds in international travel.

“While there are short-term headwinds due to the West Asia conflict impacting oil prices, we remain positive about the long-term outlook of the travel and tourism market in India on the back of infrastructure development and rising propensity to travel in India,” said Group Chief Executive Officer Rajesh Magow.

Gross bookings, which shows the total value of travel services booked on the platform before cancellations and certain adjustments, rose 19.9% year-on-year in constant currency to about $2.9 billion.

Revenue increased 16.1% to $285.6 million, while results from operating activities grew 8.3% to $43.7 million. Adjusted operating profit, also referred to as adjusted EBIT, stood at $51.4 million.

Growth was broad-based across business segments. Adjusted margin from air ticketing rose 10.8% year-on-year, hotels and packages grew 21.3%, bus ticketing expanded 32.4% and the others segment increased 27.2% in constant currency. The stronger growth in hotels, packages and bus ticketing suggests these businesses continued to outperform the more mature air ticketing segment during the quarter.

AI push gathers pace

Alongside financial growth, MakeMyTrip continued to expand its artificial intelligence initiatives through Myra 2.0, its AI-powered travel assistant. The company said the upgraded platform now supports end-to-end conversational bookings, allowing customers to search, compare options, ask contextual questions, upload documents and complete bookings through voice, if preferred, across eight Indian languages.

Myra handled more than 85,000 daily conversations during the quarter, with over 45% originating from Tier II and Tier III cities. The company also said the platform resolved more than 50% of post-booking queries related to flights and hotels, highlighting its growing role in customer service efficiency.