Shares of RateGain Travel Technologies Limited tumbled sharply by over 12% in trade after the company reported its Q3 results, triggering a strong reaction from investors. The steep fall came despite robust revenue growth, as margins contracted significantly and net profit declined on a year-on-year basis.
For the quarter, the company reported a 53.2% drop in net profit at ₹26.4 crore compared to ₹56.5 crore in the corresponding quarter last year. The sharp decline in profitability weighed heavily on investor sentiment, overshadowing the strong topline performance.
On the revenue front, RateGain posted impressive growth of 94.2% year-on-year, with revenue rising to ₹540 crore from ₹278 crore in the same period last year. The strong growth reflects continued demand momentum and expansion across its travel and hospitality technology offerings.
EBITDA for the quarter stood at ₹87 crore, up 44% from ₹61 crore in the year-ago period. However, EBITDA margins narrowed to 16.1% compared to 21.8% last year, indicating pressure on operating profitability.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Author or Business Upturn is not liable for any losses arising from the use of this information.
Comments are closed.