Le Travenues Technology Limited (ixigo) Q3 FY26 Earnings Call Summary

ixigo delivered a record performance in Q3 FY26, with revenue growing 31% YoY to ₹317.6 crores and PAT rising 54% to ₹24 crores, despite significant headwind...

Summary

Le Travenues Technology Limited - Q3 FY26 Earnings Call Summary Thursday, January 22, 2026, 18:00 IST

Event Participants

Executives 3 Aloke Bajpai (Chairman, MD & Group CEO), Rajnish Kumar (Director & Group Co-CEO), Saurabh Devendra Singh (Group CFO)

Analysts 4 Anmol Garg (DAM Capital), Pankaj Mehendiratta (BofA), Swapnil Potdukhe (JM Financial), Vinamra Hirawat (Jefferies)

Financials & KPIs

Metric Reported Commentary
Revenue from Operations ₹317.6 crores +31% YoY; All-time high driven by strong execution in flights and buses.
Gross Transaction Value (GTV) ₹4,902.9 crores +21% YoY; All-time high performance despite flight operational disruptions.
Profit After Tax (PAT) ₹24 crores +54% YoY; Reflects continued operating leverage and scale.
Adjusted EBITDA ₹30.8 crores +27% YoY; Growth maintained despite ₹2 crore adverse impact from flight disruptions.
Contribution Margin (Group) ₹115.3 crores +12% YoY; Margin percentage stood at 36%.
Flight GTV / Revenue ₹2,055 cr / ₹102.4 cr GTV +22% YoY, Revenue +49% YoY; Outpaced market growth despite 4,500 cancellations in Dec.
Train GTV / Revenue ₹2,095.5 cr / ₹134.1 cr GTV +15% YoY, Revenue +12% YoY; Represents 43% of total GTV.
Bus GTV / Revenue ₹671 million / ₹75.6 cr GTV +36% YoY, Revenue +47% YoY; Strategy prioritizes growth/penetration over margins.
AI Voice Resolution 76%+ Percentage of voice calls automated; peaked at 90% (150k+ calls) during Dec crisis.

Geographic & Segment Commentary

  • International Flights: This segment saw GTV growth of over 50% YoY, now accounting for 20% of total flight GTV. Growth is expanding beyond Tier 1 airports into Tier 2 and 3 cities due to improved connectivity to Southeast Asia and the Middle East. Supply was bolstered by 26 new NDC airline integrations.
  • Bus Segment: Scaled from ~₹500 crore annual GTV in 2021 to ₹2,400 crore in the trailing 12 months (6x growth). Management is maintaining a “growth over margin” stance, keeping CM in the 40% range to drive digital penetration, which remains low in the 20s.
  • Train Segment: Remains a foundational pillar contributing 35% of group CM. The segment saw 26.12 million segments booked (+8.8% YoY) and is benefiting from government plans to double originating capacity by 2030 through Vande Bharat and Amrit Bharat initiatives.
  • Hotels: Currently in the “build-out” phase, focusing on solving the “what you see vs. what you get” problem in budget stays. Management is adding direct supply via channel managers and targeting a future shift in consumer behavior from offline walk-ins to online bookings.

Company-Specific & Strategic Commentary

  • AI Customer Experience Stack: During the December flight crisis, AI handled 150,000+ calls end-to-end, maintaining a 96.7% answer rate within 2 minutes. Management views AI as a “trust lever” rather than just a cost-cutting tool, enabling rapid refunds (3h 10m avg) during peak disruptions.
  • Inorganic AI & Global Strategy: The company established a Singapore subsidiary to facilitate overseas investments, particularly in AI-native teams and travel adjacencies. An Investment Committee featuring Shailesh Lakhani and Rajesh Sawhney has been formed to evaluate high-conviction bets.
  • Multimodal Cross-selling: The platform leverages its train user base to upsell buses (3x refund guarantee for waitlisted users) and recently launched airport cabs and metro ticketing for Delhi and Mumbai.

Guidance & Outlook

Metric Guidance / Outlook Commentary
Q4 FY26 GTV High-single-digit base effect Q4 FY25 had extraordinary demand from Mahakumbh; Q4 FY26 faces a tough YoY comparison.
Bus CM % Low 40s Range Management intent is to stay in the 40s, potentially dropping 1-2% for growth, but avoiding the 30s.
Hotel Investment Step-up in FY27 Plans to intensify product and supply efforts once “product-market fit” is confirmed.
Train Capacity Long-term Expansion Indian Railways plans to double capacity by 2030; notes this is a long-cycle infrastructure investment.

Risks & Constraints

Risk Context
Operational Disruptions DGCA FDTL norm changes led to 4,500 flight cancellations in Dec, causing a ₹2 crore EBITDA hit.
Base Effect Extraordinary demand from last year’s Mahakumbh creates a high hurdle for YoY growth in Q4 FY26.
Regulatory Friction Mandatory Aadhaar verification for train bookings initially introduced user friction, though experience is now normalizing.
Budget Hotel Quality Significant “dissonance” between online photos and physical reality in budget hotels remains a barrier to digital adoption.

Q&A Highlights

Flight Disruptions (Anmol Garg)

  • Question: What was the financial impact of the December airline cancellations and the proactive fee refunds?
  • Answer: The total impact from lost bookings, cancellations, and refunded convenience/assured fees was approximately ₹2 crores, which has been fully absorbed in Q3 results (Saurabh Singh).

Bus Margins (Anmol Garg)

  • Question: Why have bus contribution margins declined and what is the sustainable level?
  • Answer: We are deliberately chasing growth over profits given that digital penetration is only in the low 20s. We will operate in the 40% CM range and aren’t shy about investing in “peace of mind” products like roadside assistance (Aloke Bajpai).

Singapore Subsidiary (Swapnil Potdukhe)

  • Question: What is the purpose of the new Singapore entity?
  • Answer: It serves as a channel for overseas investments in technology, AI-native teams, and travel adjacencies that offer high strategic synergy (Saurabh Singh/Rajnish Kumar).

Operating Leverage (Swapnil Potdukhe)

  • Question: Fixed employee costs (ex-ESOP) are declining; is this due to AI?
  • Answer: Mature businesses like trains and flights are showing operating leverage. AI helps handle peak volumes without adding headcount, as seen with TARA and automated voice agents (Aloke Bajpai/Saurabh Singh).

Key Takeaway

ixigo delivered a record performance in Q3 FY26, with revenue growing 31% YoY to ₹317.6 crores and PAT rising 54% to ₹24 crores, despite significant headwinds from airline operational disruptions. The quarter served as a successful stress test for the company’s AI stack, which handled 90% of customer calls during the December crisis, maintaining high satisfaction scores while processing refunds in under four hours. Strategically, the firm is pivoting toward an “AI-native” future, having formed a specialized Investment Committee and a Singapore subsidiary to scout for global tech talent and adjacencies. While the bus segment continues to compound at 40-50% growth by prioritizing market share, the hotel vertical remains a long-term build-out focus. Management warned of a high base effect for Q4 due to last year’s Mahakumbh but remains confident in the secular trend of spiritual tourism and long-term railway capacity expansion.

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