BENGALURU (Reuters) – India’s IPO-bound Oyo Hotels posted positive group core earnings for the first time as a rebound in travel demand powered bookings, a filing from the SoftBank Group-backed hotel aggregator showed on Monday.
Oyo’s adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) for the first quarter stood at 72.66 million Indian rupees ($911,668.76), the company disclosed in an addendum to its filing for an initial public offering (IPO).
Last year, the hotel-booking startup officially known as Oravel Stays said it had incurred net losses every year since incorporation, and that its ability to achieve profitability may be delayed due to the economic fallout from the pandemic.
The group’s Monday filing showed that net loss narrowed to 18.92 billion rupees for the year ended March from 33.83 billion rupees in 2021.
Gross booking value (GBV) stood at 24.87 billion rupees for the quarter ended June and at 81 billion rupees for fiscal 2022, up 22% from a year ago.
Oyo’s IPO will consist of a fresh issue of shares of up to 70 billion rupees and an offer for sale of as much as 14.30 billion rupees, according to its IPO filing.
($1 = 79.7000 Indian rupees)
(Reporting by Rama Venkat in Bengaluru; Editing by Devika Syamnath)
