Gurugram-based Oyo Hotels & Homes has recorded a net profit of Rs 158 crore for the quarter ending September 30, 2024, a significant turnaround from a Rs 50 crore loss in the same period last year.
Founder and CEO Ritesh Agarwal attributed the profitability to the company's focus on premiumisation, particularly through the launch of company-serviced hotels under the Townhouse brand and other offerings. This development continues the positive trajectory from the first quarter, where Oyo reported a net profit of Rs 132 crore.
For the first six months of FY24, the company’s total profit stands at Rs 291 crore, a stark contrast to the Rs 91 crore net loss it posted in the same period last year. These figures are unaudited, with the company yet to file its audited financials for FY24 with the Registrar of Companies.
Oyo’s gross booking value for the September quarter reached Rs 3,243 crore, up 17 per cent compared to the same quarter last year, while revenue stood at Rs 1,578 crore for the three months. Agarwal also shared with employees that Oyo is on track to exceed Rs 2,000 crore in EBITDA by FY26.
Earlier this year, Oyo raised Rs 1,457 crore in fresh capital from various investors, including domestic family offices and stock market players. The round, which valued the company at USD 2.5 billion—a significant drop from its peak USD 9 billion valuation in 2021—was led by an entity linked to Agarwal, which injected Rs 830 crore. Additional investments came from the family office of Mankind Pharma promoters, ASK Financial Holdings, and J&A Partners.
In a major international move, Oyo acquired G6 Hospitality, a U.S.-based economy lodging franchisor and parent company of the well-known Motel 6 and Studio 6 brands, from Blackstone for USD 525 million in an all-cash deal. The acquisition strengthens Oyo’s foothold in the global economy lodging market.
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