MMYT MakeMyTrip Limited

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

Form 6-K

 

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16

under the Securities Exchange Act of 1934

For the quarter ended December 31, 2023

Commission File Number 001-34837

 

MAKEMYTRIP LIMITED

(Translation of registrant’s name into English)

 

19th Floor, Building No. 5

DLF Cyber City

Gurugram, India, 122002

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F ☒ Form 40-F ☐

 

 

 

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Other Events

Announcement of Unaudited Financial Results for the Quarter ended December 31, 2023

On January 23, 2024, MakeMyTrip Limited (“MakeMyTrip”) issued an earnings release announcing its unaudited financial results for the fiscal third quarter of 2024 (i.e. quarter ended December 31, 2023). A copy of the earnings release dated January 23, 2024 is attached hereto as Exhibit 99.1.

 

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Exhibit

 

99.1		Earnings release of MakeMyTrip Limited dated January 23, 2024.

 

 

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EXHIBIT INDEX

 

99.1		Earnings release of MakeMyTrip Limited dated January 23, 2024.

 

 

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Date: January 23, 2024

 

MAKEMYTRIP LIMITED
By:		/s/ Rajesh Magow
Name:		Rajesh Magow
Title:		Group Chief Executive Officer

 

 

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Exhibit 99.1

MAKEMYTRIP LIMITED ANNOUNCES FISCAL 2024 THIRD QUARTER RESULTS

 

 

Gurugram, India and New York, January 23, 2024 — MakeMyTrip Limited (NASDAQ: MMYT), India’s leading travel service provider, today announced its unaudited interim financial and operating results for its fiscal third quarter ended December 31, 2023.

 

(in thousands)		For the three months  ended December  31, 2022				For the three months  ended December  31, 2023				YoY Change				YoY Change in constant currency(1)				For the nine months  ended December  31, 2022				For the nine months  ended December  31, 2023				YoY Change				YoY Change in constant currency(1)
Financial Summary as per IFRS
Revenue		$	170,526			$	214,216				25.6	%			26.9	%		$	444,513			$	579,637				30.4	%			34.9	%
Air Ticketing		$	38,360			$	51,695				34.8	%			36.4	%		$	108,909			$	146,170				34.2	%			39.0	%
Hotels and Packages		$	103,290			$	125,482				21.5	%			22.6	%		$	255,581			$	330,063				29.1	%			33.4	%
Bus Ticketing		$	19,542			$	24,177				23.7	%			25.1	%		$	55,937			$	68,893				23.2	%			27.6	%
Others		$	9,334			$	12,862				37.8	%			39.4	%		$	24,086			$	34,511				43.3	%			48.5	%
Results from Operating Activities		$	7,466			$	22,645											$	15,631			$	48,491
Profit (loss) for the period		$	174			$	24,217											$	(16,611	)		$	44,815
Financial Summary as per non-IFRS measures
Adjusted Margin(2)
Air Ticketing		$	70,179			$	79,177				12.8	%			14.2	%		$	205,801			$	233,960				13.7	%			17.7	%
Hotels and Packages		$	71,989			$	98,789				37.2	%			38.8	%		$	196,274			$	260,016				32.5	%			37.4	%
Bus Ticketing		$	20,341			$	26,911				32.3	%			33.8	%		$	57,962			$	76,003				31.1	%			35.9	%
Others		$	9,626			$	13,011				35.2	%			36.8	%		$	25,073			$	34,914				39.2	%			44.3	%
Adjusted Operating Profit(2)		$	19,674			$	33,444											$	51,280			$	91,782
Adjusted Net Profit(2)		$	15,856			$	38,905											$	29,863			$	100,298
Gross Bookings		$	1,738,181			$	2,088,273				20.1	%			21.7	%		$	4,892,324			$	5,915,462				20.9	%			25.5	%

Notes:

 

Financial Highlights for Fiscal 2024 Third Quarter

(Year over Year (YoY) growth % is based on constant currency(1))

 

 

Rajesh Magow, Group Chief Executive Officer, MakeMyTrip, commenting on the results, said,

“During this seasonally strong quarter, we witnessed robust demand for leisure travel across all domestic and international destinations leading to the highest-ever quarterly gross bookings, revenue, and profit for the Group. We are excited about the opportunities that lie ahead of us, as the travel and tourism sector is a focus area for the Indian government and is expected to benefit from increased investments in travel infrastructure. Additionally, from a consumer perspective, the growing disposable incomes of the middle class in India are expected to continue driving India’s travel and hospitality growth in the coming years. We remain committed to excellence and innovation, aiming to meet and exceed the diverse travel aspirations of Indian consumers.”

 

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Fiscal 2024 Third Quarter Financial Results

Revenue. We generated revenue of $214.2 million in the quarter ended December 31, 2023, an increase of 25.6% (26.9% in constant currency(1)) over revenue of $170.5 million in the quarter ended December 31, 2022, primarily as a result of an increase of 34.8% (36.4% in constant currency) in revenue from our air ticketing business, an increase of 21.5% (22.6% in constant currency) in revenue from our hotels and packages business, an increase of 23.7% (25.1% in constant currency) in revenue from our bus ticketing business, and an increase of 37.8% (39.4% in constant currency) in revenue from our others business, each as further described below. The increase in revenue was primarily due to the sustained elevated travel demand in India in the quarter ended December 31, 2023 as compared to the quarter ended December 31, 2022.

 

The table below summarizes our segment profitability in terms of revenue and Adjusted Margin in each segment. Customer inducement costs have been added back to revenue to calculate Adjusted Margin and are intended to reflect the way we view our ongoing business. Under IFRS, these customer inducement costs are required to be recorded as a reduction of revenue. For more information, see “Information About Reportable Segments” in our condensed consolidated interim financial statements included elsewhere in this release. Also see “About Key Performance Indicators and Non-IFRS Measures” elsewhere in this release.

 

		For the three months ended December 31
		Air ticketing								Hotels and packages								Bus ticketing								Others
		2022				2023				2022				2023				2022				2023				2022				2023
		(Amounts in USD thousands)
Revenue as per IFRS			38,360				51,695				103,290				125,482				19,542				24,177				9,334				12,862
Add: Customer inducement costs recorded as a reduction of revenue			32,815				27,482				25,204				35,674				2,206				2,734				508				149
Less: Service cost			996				—				56,505				62,367				1,407				—				216				—
Adjusted Margin(2)			70,179				79,177				71,989				98,789				20,341				26,911				9,626				13,011

Air Ticketing. Revenue from our air ticketing business increased by 34.8% (36.4% in constant currency) to $51.7 million in the quarter ended December 31, 2023, from $38.4 million in the quarter ended December 31, 2022. Our Adjusted Margin – Air ticketing increased by 12.8% (14.2% in constant currency) to $79.2 million in the quarter ended December 31, 2023, from $70.2 million in the quarter ended December 31, 2022. Adjusted Margin – Air ticketing includes customer inducement costs of $27.5 million in the quarter ended December 31, 2023 and $32.8 million in the quarter ended December 31, 2022, recorded as a reduction of revenue. The increase in revenue from our air ticketing business and Adjusted Margin – Air ticketing was primarily due to an increase in gross bookings of 18.2% (19.8% in constant currency) primarily driven by a 9.1% increase in the number of air ticketing flight segments year over year (excluding flight segments booked as a component of bookings for our Hotels and Packages segment), primarily due to the sustained elevated travel demand in India in the quarter ended December 31, 2023 as compared to the quarter ended December 31, 2022. Further, our Adjusted Margin % (defined as Adjusted Margin as a percentage of gross bookings) – Air ticketing decreased marginally to 6.3% in the quarter ended December 31, 2023 as compared to 6.6% in the quarter ended December 31, 2022.

Hotels and Packages. Revenue from our hotels and packages business increased by 21.5% (22.6% in constant currency) to $125.5 million in the quarter ended December 31, 2023, from $103.3 million in the quarter ended December 31, 2022. Our Adjusted Margin – Hotels and packages increased by 37.2% (38.8% in constant currency) to $98.8 million in the quarter ended December 31, 2023 from $72.0 million in the quarter ended December 31, 2022. Adjusted Margin – Hotels and packages includes customer inducement costs of $35.7 million in the quarter ended December 31, 2023 and $25.2 million in the quarter ended December 31, 2022, recorded as a reduction of revenue. The increase in revenue from our hotels and packages business and Adjusted Margin – Hotels and packages was primarily due to an increase in gross bookings by 25.5% (27.0% in constant currency) primarily driven by a 17.4% increase in the number of hotel-room nights in the quarter ended December 31, 2023 as compared to the quarter ended December 31, 2022, primarily due to the sustained elevated travel demand in India in the quarter ended December 31, 2023 as compared to the quarter ended December 31, 2022. Our Adjusted Margin % – Hotels and packages increased to 17.7% in the quarter ended December 31, 2023 as compared to 16.2% in the quarter ended December 31, 2022, primarily due to the comparatively lower proportion of bookings of packages in the quarter ended December 31, 2023, that have relatively lower margins.

Bus Ticketing. Revenue from our bus ticketing business increased by 23.7% (25.1% in constant currency) to $24.2 million in the quarter ended December 31, 2023, from $19.5 million in the quarter ended December 31, 2022. Our Adjusted Margin – Bus ticketing increased by 32.3% (33.8% in constant currency) to $26.9 million in the quarter ended December 31, 2023 from $20.3 million in the quarter ended December 31, 2022. Adjusted Margin – Bus ticketing includes customer inducement costs of $2.7 million in the quarter ended December 31, 2023 and $2.2 million in the quarter ended December 31, 2022, recorded as a reduction of revenue. The increase in revenue from our bus ticketing business and Adjusted Margin – Bus ticketing was due to an increase in gross bookings by 18.8% (20.3% in constant currency) driven by a 16.8% increase in the number of bus tickets travelled year over year, primarily due to the sustained elevated travel demand in India in the quarter ended December 31, 2023 as compared to the quarter ended December 31, 2022. Our Adjusted Margin % – Bus ticketing increased to 10.0% in the quarter ended December 31, 2023 as compared to 9.0% in the quarter ended December 31, 2022, primarily due to the reclassification of distribution costs as a component of “other operating expenses” from a component of “service cost” since the quarter ended June 30, 2023.

 

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Others. Revenue from our others business increased by 37.8% (39.4% in constant currency) to $12.9 million in the quarter ended December 31, 2023, from $9.3 million in the quarter ended December 31, 2022. Our Adjusted Margin – Others increased by 35.2% (36.8% in constant currency) to $13.0 million in the quarter ended December 31, 2023 from $9.6 million in the quarter ended December 31, 2022. Adjusted Margin – Others includes customer inducement costs of $0.1 million in the quarter ended December 31, 2023 and $0.5 million in the quarter ended December 31, 2022, recorded as a reduction of revenue. The increase in revenue from our others business and Adjusted Margin – Others was primarily on account of an increase in revenue from marketing alliances and other travel services due to the sustained elevated travel demand in India in the quarter ended December 31, 2023 as compared to the quarter ended December 31, 2022.

 

Other Income. Other income decreased by 62.8% to $0.06 million in the quarter ended December 31, 2023 from $0.16 million in the quarter ended December 31, 2022.

 

Service Cost. Service cost increased by 5.5% to $62.4 million in the quarter ended December 31, 2023 from $59.1 million in the quarter ended December 31, 2022, primarily due to the sustained elevated travel demand in India in the quarter ended December 31, 2023 as compared to the quarter ended December 31, 2022, partially offset by the reclassification of distribution costs as a component of “other operating expenses” from a component of “service cost” since the quarter ended June 30, 2023.

Personnel Expenses. Personnel expenses increased by 8.2% to $35.5 million in the quarter ended December 31, 2023 from $32.8 million in the quarter ended December 31, 2022, primarily due to annual wage increases effected in the quarter ended June 30, 2023, partially offset by a reduction in share-based compensation costs in the quarter ended December 31, 2023 as compared to the quarter ended December 31, 2022.

Marketing and Sales Promotion Expenses. Marketing and sales promotion expenses increased by 25.0% to $36.1 million in the quarter ended December 31, 2023 from $28.9 million in the quarter ended December 31, 2022 primarily due to an increase in variable costs and discretionary expenditures such as expenses on events and brand building initiatives in response to increased travel demand in India in the quarter ended December 31, 2023 as compared to the quarter ended December 31, 2022. Additionally, we incurred customer inducement costs recorded as a reduction of revenue of $66.0 million in the quarter ended December 31, 2023 and $60.7 million in the quarter ended December 31, 2022. The details are as follows:

 

		For the three months ended  December 31
		2022				2023
		(Amounts in USD thousands)
Marketing and sales promotion expenses			28,868				36,084
Customer inducement costs recorded as a reduction of revenue			60,733				66,039

 

Other Operating Expenses. Other operating expenses increased by 43.0% to $50.9 million in the quarter ended December 31, 2023 from $35.6 million in the quarter ended December 31, 2022, primarily due to the reclassification of distribution costs as a component of “other operating expenses” from a component of “service cost” since the quarter ended June 30, 2023 and an increase in operating expenses, including payment gateway charges, outsourcing fees and website hosting charges linked to an increase in bookings.

Depreciation, Amortization and Impairment. Our depreciation, amortization and impairment expenses decreased marginally by 0.9% to $6.7 million in the quarter ended December 31, 2023 from $6.8 million in the quarter ended December 31, 2022.

Results from Operating Activities. As a result of the foregoing factors, our results from operating activities were a profit of $22.6 million in the quarter ended December 31, 2023 as compared to a profit of $7.5 million in the quarter ended December 31, 2022. Our Adjusted Operating Profit was $33.4 million in the quarter ended December 31, 2023 as compared to $19.7 million in the quarter ended December 31, 2022. For a description of the components and calculation of “Adjusted Operating Profit (Loss)” and a reconciliation of this non-IFRS measure to the most directly comparable IFRS measure “Results from operating activities”, see “About Key Performance Indicators and Non-IFRS Measures” elsewhere in this release.

Net Finance Income (Costs). Our net finance income was $1.5 million in the quarter ended December 31, 2023 as compared to net finance cost of $7.7 million in the quarter ended December 31, 2022, primarily due to an increase of $4.8 million in interest income on term deposits and a decrease in net foreign exchange loss of $5.0 million in the quarter ended December 31, 2023, primarily due to decrease in unrealized foreign exchange losses resulting from translations of monetary assets and liabilities from Indian Rupees to U.S. dollars as at December 31, 2023 as compared to the quarter ended December 31, 2022.

Profit (Loss) for the Period. As a result of the foregoing factors, our profit for the quarter ended December 31, 2023 was $24.2 million as compared to $0.2 million in the quarter ended December 31, 2022. Our Adjusted Net Profit was $38.9 million in the quarter ended December 31, 2023, as compared to $15.9 million in the quarter ended December 31, 2022. For a description of the components and calculation of

 

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“Adjusted Net Profit (Loss)” and a reconciliation of this non-IFRS measure to the most directly comparable IFRS measure “Profit (loss) for the period”, see “About Key Performance Indicators and Non-IFRS Measures” elsewhere in this release.

Diluted Earnings (Loss) per Share. As a result of the foregoing factors, diluted earnings per share was $0.22 for the quarter ended December 31, 2023 as compared to $0.001 in the quarter ended December 31, 2022. Our Adjusted Diluted Earnings per share was $0.35 in the quarter ended December 31, 2023, as compared to $0.14 in the quarter ended December 31, 2022. For a description of the components and calculation of “Adjusted Diluted Earnings (Loss) per Share” and a reconciliation of this non-IFRS measure to the most directly comparable IFRS measure “Diluted earnings (loss) per share”, see “About Key Performance Indicators and Non-IFRS Measures” elsewhere in this release.

Liquidity. As at December 31, 2023, the balance of cash and cash equivalents and term deposits (including restricted cash and cash equivalents and term deposits of $6.9 million) on our balance sheet was $608.5 million.

 

Recent Developments

Acquisition of majority interest in Savaari

 

On December 1, 2023, our wholly-owned subsidiary, MakeMyTrip (India) Private Limited, or MMT India, completed its acquisition of a majority interest in Savaari Car Rentals Private Limited (Savaari), a provider of inter-city car rental services in India. This acquisition is intended to expand our presence in the inter-city car rental market in India.

 

CESTAT Order Relating to Service Tax Demand cum Show Cause Notice

In August 2021, MMT India received a demand order from the Commissioner of Service Tax relating to a demand for payment of service taxes of approximately INR 7,981 million (approximately $97.1 million) along with interest and penalties in respect of certain matters relating to the travel industry in India and which involve complex interpretations of Indian law, as described in “Item 8. Financial Information — A. Consolidated Financial Statements and Other Financial Information — Legal Proceedings — Tax Proceedings — Service Tax and Goods & Service Tax Matters — Demand cum Show Cause Notice — Fiscal Year 2012 to June 2017” in our Annual Report on Form 20-F dated July 25, 2023. In November 2021, MMT India filed an appeal with the Customs Excise & Service Tax Appellate Tribunal, or CESTAT, after making a pre-deposit of approximately INR 100 million (approximately $1.2 million) against the demand order with the relevant authorities.

On January 10, 2024, MMT India received a favorable order from CESTAT, pursuant to which the demand order from the Commissioner of Service Tax was set aside in full. The CESTAT order is appealable by the Commissioner of Service Tax within 90 days from the receipt of the order.

 

Repurchases of Shares and Convertible Notes

Pursuant to the terms of and subject to the conditions set forth in, the Indenture dated as of February 9, 2021 relating to the 0.00% convertible senior notes due 2028, or the 2028 Notes, by and between the Company and The Bank of New York Mellon, as trustee, each holder of 2028 Notes has the right to require the Company to repurchase the 2028 Notes on February 15, 2024 and February 15, 2026 (which is, respectively, approximately three and five years after the Notes were initially issued). On January 17, 2024, the Company notified holders of its 2028 Notes, of the right, at the option such holder, to require the Company to repurchase at par all of such holder’s 2028 Notes or any portion thereof that is an integral multiple of US$1,000 principal amount for cash on February 15, 2024, or the Repurchase Right, if properly tendered by the holders subject to the terms and conditions set forth in the Indenture. The Company intends to announce the results of this tender offer in accordance with applicable laws.

In addition, the Company’s share repurchase plan, pursuant to which the Company can repurchase its ordinary shares at any price determined by its Board of Directors from time to time, remains effective until March 31, 2026. Furthermore, and separate from the pending Repurchase Right described above, the Board of Directors has authorized the Company to repurchase its 2028 Notes from time to time through open market purchases, privately negotiated transactions with individual holders or otherwise, in accordance with applicable securities laws (including Rule 14e-5 of the U.S. Securities Exchange Act of 1934), provided that the aggregate amount of ordinary shares and aggregate amount of 2028 Notes that may be repurchased by the Company pursuant to this existing program shall not exceed $136.0 million. The price and timing of any such repurchases will depend on prevailing market conditions, liquidity requirements, contractual restrictions and other factors as determined by the Board of Directors from time to time. There can be no assurance that we will execute any such repurchase pursuant to the plan or the Repurchase Right.

There were no repurchases pursuant to the share repurchase plan or repurchases of 2028 Notes during the third quarter of fiscal year 2024. As at December 31, 2023, we had remaining authority to repurchase up to $136.0 million of our outstanding ordinary shares and 2028 Notes.

 

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Conference Call

MakeMyTrip will host a live Zoom webinar to discuss the Company’s results for the quarter ended December 31, 2023 beginning at 7:30 AM EST or 6:00 PM IST on January 23, 2024 through the Company’s Investor Relations website at https://investors.makemytrip.com/. To participate, please use the following link https://makemytrip.zoom.us/webinar/register/WN_8FuLLIDHQhmKgnq9oO9LVA to register for the live event. Registered participants will receive a confirmation email containing the Zoom access link and alternative phone dial-in details. A replay of the event will be available on the “Investor Relations” section of the Company’s website at http://investors.makemytrip.com, approximately two hours after the conclusion of the live event.

About Key Performance Indicators and Non-IFRS Measures

 

We refer to certain non-IFRS measures in various places within this release, including “Adjusted Operating Profit (Loss)”, “Adjusted Net Profit (Loss)”, “Adjusted Diluted Earnings (Loss) per Share” and constant currency results. Our key performance indicators are “Adjusted Margin” and “Adjusted Margin %” which are also non-IFRS measures referred to in various places within this release.

 

We evaluate our financial performance in each of our reportable segments based on our key performance indicators, Adjusted Margin and Adjusted Margin %, which are non-IFRS measures and segment profitability measures. Adjusted Margin represents IFRS revenue after adding back customer inducement costs in the nature of customer incentives, customer acquisition costs and loyalty program costs which are reported as a reduction of revenue, and deducting the cost of acquisition of services primarily relating to sales to customers where we act as the principal. Adjusted Margin % represents Adjusted Margin as a percentage of gross bookings.

 

As certain parts of our revenues are recognized on a “net” basis when we are acting as an agent, and other parts of our revenue are recognized on a “gross” basis when we are acting as the principal, we evaluate our financial performance in each of our reportable segments based on Adjusted Margin, which is a non-IFRS measure and a segment profitability measure, as we believe that Adjusted Margin reflects the value addition of the travel services that we provide to our customers. Income from packages, including income on airline tickets sold to customers as a part of tours and packages is accounted for on a "gross" basis as the Company controls the services before such services are transferred to travelers. Revenue from the packages business which is accounted for on a “gross” basis represents the total amount paid by customers for these travel services and products, while our cost of procuring the relevant services and products for sale to our customers in this business is classified as service cost.

 

We also refer to Adjusted Operating Profit (Loss), Adjusted Net Profit (Loss) and Adjusted Diluted Earnings (Loss) per Share which are non-IFRS measures and most directly comparable to results from operating activities, profit (loss) for the period and diluted earnings (loss) per share for the period, respectively, each of which is an IFRS measure. We use financial measures that exclude share-based compensation expense, amortization of acquired intangibles, gain on discontinuation of equity accounted investment, impairment provision for non-financial assets, net change in financial liability relating to acquisitions, share of loss (profit) of equity-accounted investees, interest expense on financial liabilities measured at amortized cost and income tax expense (benefit) for our internal management reporting, budgeting and decision making purposes, including comparing our operating results to that of our competitors.

 

A limitation of using Adjusted Operating Profit (Loss), Adjusted Net Profit (Loss) and Adjusted Diluted Earnings (Loss) per Share instead of results from operating activities, profit (loss) for the period and diluted earnings (loss) per share calculated in accordance with IFRS as issued by the IASB is that these non-GAAP financial measures exclude a recurring cost, for example, share-based compensation. Management compensates for this limitation by providing specific information on the IFRS amounts excluded from Adjusted Operating Profit (Loss), Adjusted Net Profit (Loss) and Adjusted Diluted Earnings (Loss) per Share. Because of varying available valuation methodologies and subjective assumptions that companies can use when adopting IFRS 2 “Share based payment,” management believes that providing non-IFRS measures that exclude such expense allows investors to make additional comparisons between our operating results and those of other companies. In addition, reconciliations of IFRS measures to non-IFRS financial measures and operating results are included at the end of this release.

 

Constant currency results are financial measures that are not prepared in accordance with IFRS and assume constant currency exchange rates used for translation based on the rates in effect during the comparable period in the prior period. Because the impact of changing foreign currency exchange rates may not provide an accurate baseline for analyzing trends in our business, management believes percentage growth in constant currency is an important metric for evaluating our operations. Constant currency is a non-IFRS measure and it should not be considered as a substitute for measures prepared in accordance with IFRS.

 

We believe that our current calculations of Adjusted Operating Profit (Loss), Adjusted Net Profit (Loss), Adjusted Diluted Earnings (Loss) per Share, Adjusted Margin, Adjusted Margin % and change in constant currency represent a balanced approach to adjusting for the impact of certain discrete, unusual or non-cash items and other items such as customer inducement costs in the nature of customer incentives, customer acquisition costs and loyalty program costs, which we believe are representative of our operating results and provide useful information to investors and analysts. We believe that investors and analysts in our industry use these non-IFRS measures and key performance indicators to compare our company and our performance to that of our global peers.

 

 

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However, the presentation of these non-IFRS measures and key performance indicators are not meant to be considered in isolation or as a substitute for our consolidated financial results prepared in accordance with IFRS as issued by the IASB. These non-IFRS measures and key performance indicators may not be comparable to similarly titled measures reported by other companies due to potential differences in the method of calculation.

Safe Harbor Statement

 

This release contains certain statements concerning the Company’s future growth prospects and forward-looking statements, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on the Company’s current expectations, assumptions, estimates and projections about the Company and its industry. These forward-looking statements are subject to various risks and uncertainties. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “anticipate”, “aim”, “estimate”, “intend”, “plan”, “believe”, “potential”, “continue”, “is/are likely to”, “project”, “seek”, “should” or other similar expressions. Such statements include, among other things, quotations from management as well as MakeMyTrip’s (MMYT) strategic and operational plans. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, a slow-down of economic growth in India and the global economic downturn, the adverse impact of the COVID-19 pandemic, general declines or disruptions in the travel industry, volatility in the trading price of MMYT’s shares, MMYT’s reliance on its relationships with travel suppliers and strategic alliances, failure to further increase MMYT’s brand recognition to obtain new business partners and consumers, failure to compete against new and existing competitors, failure to successfully manage current growth and potential future growth, risks associated with any strategic investments or acquisitions, seasonality in the travel industry in India and overseas, failure to successfully develop MMYT’s corporate travel business, damage to or failure of MMYT's infrastructure and technology, loss of services of MMYT's key executives, and inflation in India and in other countries. These and other factors are more fully discussed in the “Risk Factors” section of MMYT's 20-F dated July 25, 2023, filed with the United States Securities and Exchange Commission. All information provided in this release is provided as of the date of issuance of this release, and MMYT does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

About MakeMyTrip Limited

 

MakeMyTrip Limited is India's leading travel group operating well-recognized travel brands including MakeMyTrip, Goibibo and redBus. Through our primary websites www.makemytrip.com, www.goibibo.com, www.redbus.in, and mobile platforms, travellers can research, plan and book a wide range of travel services and products in India as well as overseas. Our services and products include air ticketing, hotel and alternative accommodations bookings, holiday planning and packaging, rail ticketing, bus ticketing, car hire and ancillary travel requirements such as facilitating access to third-party travel insurance, visa processing and foreign exchange.

 

We provide our customers with access to all major domestic full-service and low-cost airlines operating in India and all major airlines operating to and from India, a comprehensive set of domestic accommodation properties in India and a wide selection of properties outside of India, Indian Railways and all major Indian bus operators. For more information, visit https://www.makemytrip.com/about-us/company_profile.php

For more details, please contact:

 

Vipul Garg

Vice President - Investor Relations

MakeMyTrip Limited

Vipul.garg@go-mmt.com

 

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MAKEMYTRIP LIMITED

CONDENSED CONSOLIDATED INTERIM STATEMENT OF FINANCIAL POSITION

(UNAUDITED)

(Amounts in USD thousands)

 

		As at March 31, 2023				As at December 31, 2023
Assets
Property, plant and equipment			25,380				26,543
Intangible assets and goodwill			628,974				612,339
Trade and other receivables, net			6,179				7,020
Investment in equity-accounted investees			2,070				14,025
Other investments			1,268				1,344
Term deposits			5,618				1,895
Non-current tax assets			18,373				25,372
Other non-current assets			53				43
Total non-current assets			687,915				688,581
Inventories			25				16
Contract assets			—				6,579
Trade and other receivables, net			68,847				86,133
Term deposits			197,056				296,829
Other current assets			121,964				137,600
Cash and cash equivalents			284,018				309,753
Total current assets			671,910				836,910
Total assets			1,359,825				1,525,491
Equity
Share capital			53				54
Share premium			2,057,362				2,140,124
Other components of equity			40,137				(19,252	)
Accumulated deficit			(1,227,986	)			(1,184,409	)
Total equity attributable to owners of the Company			869,566				936,517
Non-controlling interests			6,490				4,696
Total equity			876,056				941,213
Liabilities
Loans and borrowings(#)			15,650				16,261
Employee benefits			8,886				10,116
Contract liabilities			163				225
Deferred tax liabilities, net			822				432
Other non-current liabilities, including derivative			4,590				10,127
Total non-current liabilities			30,111				37,161
Loans and borrowings(#)			219,514				232,463
Trade and other payables			89,780				133,950
Contract liabilities			75,206				91,332
Other current liabilities			69,158				89,372
Total current liabilities			453,658				547,117
Total liabilities			483,769				584,278
Total equity and liabilities			1,359,825				1,525,491

 

# Loans and borrowings include lease liabilities amounting to $17.2 million as at December 31, 2023 (as at March 31, 2023: $16.4 million).

 

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MAKEMYTRIP LIMITED

CONDENSED CONSOLIDATED INTERIM STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

(UNAUDITED)

(Amounts in USD thousands, except per share data and share count)

 

		For the three months ended  December 31								For the nine months ended  December 31
		2022				2023				2022				2023
Revenue
Air ticketing			38,360				51,695				108,909				146,170
Hotels and packages			103,290				125,482				255,581				330,063
Bus ticketing			19,542				24,177				55,937				68,893
Other revenue			9,334				12,862				24,086				34,511
Total revenue			170,526				214,216				444,513				579,637
Other income			156				58				2,644				587
Service cost
Procurement cost of hotels and packages services			56,505				62,367				127,738				162,239
Other cost of providing services			2,619				—				7,005				—
Personnel expenses			32,810				35,509				98,248				104,336
Marketing and sales promotion expenses			28,868				36,084				78,395				91,706
Other operating expenses			35,612				50,931				99,639				153,173
Depreciation, amortization and impairment			6,802				6,738				20,501				20,279
Results from operating activities			7,466				22,645				15,631				48,491
Finance income			3,031				7,710				7,710				17,630
Finance costs			10,703				6,228				40,905				21,222
Net finance income (costs)			(7,672	)			1,482				(33,195	)			(3,592	)
Share of profit (loss) of equity-accounted investees			(1	)			42				64				41
Profit (loss) before tax			(207	)			24,169				(17,500	)			44,940
Income tax benefit (expense)			381				48				889				(125	)
Profit (loss) for the period			174				24,217				(16,611	)			44,815
Other comprehensive income (loss)
Items that will not be reclassified subsequently to profit or loss:
Remeasurement of defined benefit liability, net of tax			—				—				1,139				(369	)
Items that are or may be reclassified subsequently to profit or loss:
Foreign currency translation differences on foreign operations, net of tax			(7,948	)			155				(52,482	)			(7,658	)
Other comprehensive income (loss) for the period, net of tax			(7,948	)			155				(51,343	)			(8,027	)
Total comprehensive income (loss) for the period			(7,774	)			24,372				(67,954	)			36,788
Profit (loss) attributable to:
Owners of the Company			93				24,262				(16,985	)			44,791
Non-controlling interests			81				(45	)			374				24
Profit (loss) for the period			174				24,217				(16,611	)			44,815
Total comprehensive income (loss) attributable to:
Owners of the Company			(7,841	)			24,423				(67,722	)			36,856
Non-controlling interests			67				(51	)			(232	)			(68	)
Total comprehensive income (loss) for the period			(7,774	)			24,372				(67,954	)			36,788
Earnings (loss) per share (in USD)
Basic			0.001				0.22				(0.16	)			0.40
Diluted			0.001				0.22				(0.16	)			0.40
Weighted average number of shares (including Class B Shares)
Basic			109,866,226				111,048,490				109,548,983				110,855,929
Diluted			111,315,305				112,677,530				109,548,983				112,413,794

 

 

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MAKEMYTRIP LIMITED

CONDENSED CONSOLIDATED INTERIM STATEMENT OF CHANGES IN EQUITY

(UNAUDITED)

(Amounts in USD thousands)

 

		Attributable to owners of the Company
										Other components of equity
		Share Capital				Share Premium				Equity Component of Convertible Notes				Fair Value Reserves				Share Based Payment Reserve				Foreign Currency Translation Reserve				Accumulated Deficit				Total				Non- Controlling Interests				Total Equity
Balance as at April 1, 2023			53				2,057,362				31,122				368				176,836				(168,189	)			(1,227,986	)			869,566				6,490				876,056
Total comprehensive income (loss) for the period
Profit (loss) for the period			—				—				—				—				—				—				44,791				44,791				24				44,815
Other comprehensive income (loss)
Foreign currency translation differences			—				—				—				—				—				(7,567	)			—				(7,567	)			(91	)			(7,658	)
Remeasurement of defined benefit liability			—				—				—				—				—				—				(368	)			(368	)			(1	)			(369	)
Total other comprehensive income (loss)			—				—				—				—				—				(7,567	)			(368	)			(7,935	)			(92	)			(8,027	)
Total comprehensive income (loss) for the period			—				—				—				—				—				(7,567	)			44,423				36,856				(68	)			36,788
Transactions with owners, recorded directly in equity
Contributions by owners
Share-based payment			—				—				—				—				25,162				—				—				25,162				36				25,198
Issue of ordinary shares on exercise of share based awards			1				82,762				—				—				(76,770	)			—				—				5,993				—				5,993
Transfer to accumulated deficit on expiry of share based awards			—				—				—				—				(40	)			—				40				—				—				—
Total contributions by owners			1				82,762				—				—				(51,648	)			—				40				31,155				36				31,191
Changes in ownership interests
Acquisition of non-controlling interest			—				—				—				—				—				(229	)			(418	)			(647	)			(1,762	)			(2,409	)
Change in fair value of financial liability for acquisition of non-controlling interest			—				—				—				—				—				55				(468	)			(413	)			—				(413	)
Total changes in ownership interests in subsidiaries			—				—				—				—				—				(174	)			(886	)			(1,060	)			(1,762	)			(2,822	)
Total transactions with owners			1				82,762				—				—				(51,648	)			(174	)			(846	)			30,095				(1,726	)			28,369
Balance as at December 31, 2023			54				2,140,124				31,122				368				125,188				(175,930	)			(1,184,409	)			936,517				4,696				941,213

 

 

 

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MAKEMYTRIP LIMITED

CONDENSED CONSOLIDATED INTERIM STATEMENT OF CASH FLOWS

(UNAUDITED)

(Amounts in USD thousands)

 

		For the nine months ended  December 31
		2022				2023
Profit (loss) for the period			(16,611	)			44,815
Adjustments for non-cash items			78,513				58,035
Changes in working capital			(74,037	)			23,528
Net cash generated from (used in) operating activities			(12,135	)			126,378
Net cash generated from (used in) investing activities			30,840				(95,468	)
Net cash generated used in financing activities			(5,007	)			(4,800	)
Increase in cash and cash equivalents			13,698				26,110
Cash and cash equivalents at beginning of the period			213,283				284,018
Effect of exchange rate fluctuations on cash held			108				(375	)
Cash and cash equivalents at end of the period			227,089				309,753

 

 

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MAKEMYTRIP LIMITED

INFORMATION ABOUT REPORTABLE SEGMENTS

(UNAUDITED)

(Amounts in USD thousands)

 

		For the three months ended December 31
		Reportable segments
		Air ticketing								Hotels and packages								Bus ticketing								All other segments								Total
Particulars		2022				2023				2022				2023				2022				2023				2022				2023				2022				2023
Consolidated Revenue			38,360				51,695				103,290				125,482				19,542				24,177				9,334				12,862				170,526				214,216
Add: Customer inducement costs recorded as a reduction of revenue*			32,815				27,482				25,204				35,674				2,206				2,734				508				149				60,733				66,039
Less: Service cost			996				—				56,505				62,367				1,407				—				216				—				59,124				62,367
Adjusted Margin			70,179				79,177				71,989				98,789				20,341				26,911				9,626				13,011				172,135				217,888
Other income																																			156				58
Personnel expenses																																			(32,810	)			(35,509	)
Marketing and sales promotion expenses																																			(28,868	)			(36,084	)
Customer inducement costs recorded as a reduction of revenue*																																			(60,733	)			(66,039	)
Other operating expenses																																			(35,612	)			(50,931	)
Depreciation, amortization and impairment																																			(6,802	)			(6,738	)
Finance income																																			3,031				7,710
Finance costs																																			(10,703	)			(6,228	)
Share of profit (loss) of equity-accounted investees																																			(1	)			42
Profit (loss) before tax																																			(207	)			24,169

 

		For the nine months ended December 31
		Reportable segments
		Air ticketing								Hotels and packages								Bus ticketing								All other segments								Total
Particulars		2022				2023				2022				2023				2022				2023				2022				2023				2022				2023
Consolidated Revenue			108,909				146,170				255,581				330,063				55,937				68,893				24,086				34,511				444,513				579,637
Add: Customer inducement costs recorded as a reduction of revenue*			99,154				87,790				68,431				92,192				6,377				7,110				1,378				403				175,340				187,495
Less: Service cost			2,262				—				127,738				162,239				4,352				—				391				—				134,743				162,239
Adjusted Margin			205,801				233,960				196,274				260,016				57,962				76,003				25,073				34,914				485,110				604,893
Other income																																			2,644				587
Personnel expenses																																			(98,248	)			(104,336	)
Marketing and sales promotion expenses																																			(78,395	)			(91,706	)
Customer inducement costs recorded as a reduction of revenue*																																			(175,340	)			(187,495	)
Other operating expenses																																			(99,639	)			(153,173	)
Depreciation, amortization and impairment																																			(20,501	)			(20,279	)
Finance income																																			7,710				17,630
Finance costs																																			(40,905	)			(21,222	)
Share of profit (loss) of equity-accounted investees																																			64				41
Profit (loss) before tax																																			(17,500	)			44,940

 

* For purposes of reporting to the Chief Operating Decision Maker (CODM), the segment profitability measure i.e. Adjusted Margin is arrived at by adding back certain customer inducement costs including customer incentives, customer acquisition cost and loyalty program costs, which are recorded as a reduction of revenue and reducing service cost.

 

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MAKEMYTRIP LIMITED

RECONCILIATION OF IFRS TO NON-IFRS FINANCIAL MEASURES AND KEY PERFORMANCE INDICATORS

(Unaudited)

(Amounts in USD thousands, except per share data)

 

The following tables reconcile our revenue (an IFRS measure) to Adjusted Margin (a segment profitability measure) for the periods indicated:

 

		For the three months ended December 31
		Air ticketing								Hotels and packages								Bus ticketing								Others
		2022				2023				2022				2023				2022				2023				2022				2023
Revenue as per IFRS			38,360				51,695				103,290				125,482				19,542				24,177				9,334				12,862
Add: Customer inducement costs recorded as a reduction of revenue			32,815				27,482				25,204				35,674				2,206				2,734				508				149
Less: Service cost			996				—				56,505				62,367				1,407				—				216				—
Adjusted Margin(2)			70,179				79,177				71,989				98,789				20,341				26,911				9,626				13,011

 

 

		For the nine months ended December 31
		Air ticketing								Hotels and packages								Bus ticketing								Others
		2022				2023				2022				2023				2022				2023				2022				2023
Revenue as per IFRS			108,909				146,170				255,581				330,063				55,937				68,893				24,086				34,511
Add: Customer inducement costs recorded as a reduction of revenue			99,154				87,790				68,431				92,192				6,377				7,110				1,378				403
Less: Service cost			2,262				—				127,738				162,239				4,352				—				391				—
Adjusted Margin(2)			205,801				233,960				196,274				260,016				57,962				76,003				25,073				34,914

 

The following table reconciles our results from operating activities (an IFRS measure) to Adjusted Operating Profit (Loss) (a non-IFRS measure) for the periods indicated:

 

Reconciliation of Adjusted Operating Profit (Loss)		For the three months ended  December 31								For the nine months ended December 31
(Unaudited)		2022				2023				2022				2023
Results from operating activities as per IFRS			7,466				22,645				15,631				48,491
Add: Acquisition related intangibles amortization			3,127				2,938				9,686				9,073
Add: Employee share-based compensation costs			9,081				7,861				27,980				24,171
Less: Gain on discontinuation of equity accounted investment			—				—				(2,017	)			—
Add: Impairment provision for non-financial assets			—				—				—				10,047
Adjusted Operating Profit (Loss)			19,674				33,444				51,280				91,782

 

The following table reconciles our profit (loss) for the period (an IFRS measure) to Adjusted Net Profit (Loss) (a non-IFRS measure) for the periods indicated:

 

Reconciliation of Adjusted Net Profit (Loss)		For the three months ended  December 31								For the nine months ended December 31
(Unaudited)		2022				2023				2022				2023
Profit (Loss) for the period as per IFRS			174				24,217				(16,611	)			44,815
Add: Acquisition related intangibles amortization			3,127				2,938				9,686				9,073
Add: Employee share-based compensation costs			9,081				7,861				27,980				24,171
Less: Gain on discontinuation of equity accounted investment			—				—				(2,017	)			—
Add: Impairment provision for non-financial assets			—				—				—				10,047
Add: Interest expense on financial liabilities measured at amortized cost			3,750				3,979				11,210				11,893
Add (Less): Income tax expense (benefit)			(381	)			(48	)			(889	)			125
Add: Net change in value of financial liability in business combination			104				—				568				215
Add (Less): Share of loss (profit) of equity-accounted investees			1				(42	)			(64	)			(41	)
Adjusted Net Profit (Loss)			15,856				38,905				29,863				100,298

The following table reconciles our diluted earnings (loss) per share for the period (an IFRS measure) to Adjusted Diluted Earnings (Loss) per Share (a non-IFRS measure) for the periods indicated:

 

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Reconciliation of Adjusted Diluted Earnings (Loss) per Share		For the three months ended  December 31								For the nine months ended December 31
(Unaudited)		2022				2023				2022				2023
Diluted Earnings (Loss) per Share for the period as per IFRS			0.001				0.22				(0.16	)			0.40
Add: Acquisition related intangibles amortization			0.03				0.03				0.09				0.08
Add: Employee share-based compensation costs			0.08				0.06				0.26				0.21
Less: Gain on discontinuation of equity accounted investment			—				—				(0.02	)			—
Add: Impairment provision for non-financial assets			—				—				—				0.09
Add: Interest expense on financial liabilities measured at amortized cost			0.03				0.04				0.10				0.11
Add (Less): Income tax expense (benefit)		*				*					(0.01	)		*
Add: Net change in value of financial liability in business combination		*					—				0.01			*
Add (Less): Share of loss (profit) of equity-accounted investees		*				*				*				*
Adjusted Diluted Earnings (Loss) per Share			0.14				0.35				0.27				0.89

* Less than $0.01.

 

The following tables reconcile our revenue (an IFRS measure) and Adjusted Margin (a segment profitability measure) in terms of reported amount and constant currency(1) amount:

(Unaudited)		For the three months ended December 31, 2023
		Revenue																				Adjusted Margin
Reported Amount and Constant Currency Amount		Air Ticketing				Hotels and Packages				Bus  Ticketing				Others				Total				Air Ticketing				Hotels and Packages				Bus  Ticketing				Others
Reported Amount			51,695				125,482				24,177				12,862				214,216				79,177				98,789				26,911				13,011
Impact of Foreign Currency Translation			628				1,164				271				145				2,208				976				1,161				305				157
Constant Currency Amount			52,323				126,646				24,448				13,007				216,424				80,153				99,950				27,216				13,168

 

(Unaudited)		For the nine months ended December 31, 2023
		Revenue																				Adjusted Margin
Reported Amount and Constant Currency Amount		Air Ticketing				Hotels and Packages				Bus  Ticketing				Others				Total				Air Ticketing				Hotels and Packages				Bus  Ticketing				Others
Reported Amount			146,170				330,063				68,893				34,511				579,637				233,960				260,016				76,003				34,914
Impact of Foreign Currency Translation			5,250				10,932				2,474				1,245				19,901				8,280				9,703				2,748				1,260
Constant Currency Amount			151,420				340,995				71,367				35,756				599,538				242,240				269,719				78,751				36,174

The following tables reconcile our revenue (an IFRS measure) and Adjusted Margin (a segment profitability measure) in terms of reported growth and constant currency(1) growth:

 

(Unaudited)		For the three months ended December 31, 2023
		Revenue																				Adjusted Margin
Reported Growth and Constant Currency Growth (YoY)		Air Ticketing				Hotels and Packages				Bus  Ticketing				Others				Total				Air Ticketing				Hotels and Packages				Bus  Ticketing				Others
Reported Growth			34.8	%			21.5	%			23.7	%			37.8	%			25.6	%			12.8	%			37.2	%			32.3	%			35.2	%
Impact of Foreign Currency Translation			1.6	%			1.1	%			1.4	%			1.6	%			1.3	%			1.4	%			1.6	%			1.5	%			1.6	%
Constant Currency Growth			36.4	%			22.6	%			25.1	%			39.4	%			26.9	%			14.2	%			38.8	%			33.8	%			36.8	%

 

(Unaudited)		For the nine months ended December 31, 2023
		Revenue																				Adjusted Margin
Reported Growth and Constant Currency Growth (YoY)		Air Ticketing				Hotels and Packages				Bus  Ticketing				Others				Total				Air Ticketing				Hotels and Packages				Bus  Ticketing				Others
Reported Growth			34.2	%			29.1	%			23.2	%			43.3	%			30.4	%			13.7	%			32.5	%			31.1	%			39.2	%
Impact of Foreign Currency Translation			4.8	%			4.3	%			4.4	%			5.2	%			4.5	%			4.0	%			4.9	%			4.8	%			5.1	%
Constant Currency Growth			39.0	%			33.4	%			27.6	%			48.5	%			34.9	%			17.7	%			37.4	%			35.9	%			44.3	%

 

 

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MAKEMYTRIP LIMITED

SELECTED OPERATING AND FINANCIAL DATA

(Unaudited)

 

		For the three months ended  December 31								For the nine months ended December 31
		2022				2023				2022				2023
		(in thousands, except percentages)
Unit Metrics
Air Ticketing – Flight segments(1)			11,289				12,469				31,428				38,330
Hotels and Packages – Room nights(2)			7,021				8,240				19,633				23,354
Standalone Hotels – Online(3) – Room nights(2)			6,780				7,967				19,044				22,662
Bus Ticketing – Travelled tickets			19,245				22,470				54,313				64,096
Adjusted Margin
Air Ticketing(4)		$	70,179			$	79,177			$	205,801			$	233,960
Hotels and Packages			71,989				98,789				196,274				260,016
Bus Ticketing			20,341				26,911				57,962				76,003
Others			9,626				13,011				25,073				34,914
Gross Bookings
Air Ticketing(4)		$	1,065,377			$	1,259,314			$	3,072,537			$	3,659,599
Hotels and Packages			445,655				559,206				1,167,724				1,489,618
Bus Ticketing			227,149				269,753				652,063				766,245
		$	1,738,181			$	2,088,273			$	4,892,324			$	5,915,462
Adjusted Margin %
Air Ticketing(4)			6.6	%			6.3	%			6.7	%			6.4	%
Hotels and Packages			16.2	%			17.7	%			16.8	%			17.5	%
Bus Ticketing			9.0	%			10.0	%			8.9	%			9.9	%

Notes:

 

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