Company Overview - MakeMyTrip (MMYT) shares increased by 5.2% to close at $82.6, with notable trading volume compared to typical sessions [1] - The stock has gained 3.2% over the past four weeks, driven by growth in international air ticketing and hotel revenues [1] Financial Performance Expectations - The company is expected to report quarterly earnings of $0.43 per share, reflecting a year-over-year increase of 10.3% [2] - Revenues are anticipated to reach $313.62 million, representing a 17.3% increase from the same quarter last year [2] Earnings Estimate Trends - The consensus EPS estimate for MakeMyTrip has remained unchanged over the last 30 days, indicating a potential lack of momentum in stock price movement [3] - Trends in earnings estimate revisions are correlated with near-term stock price movements, suggesting the need to monitor future revisions closely [3] Industry Context - MakeMyTrip is part of the Zacks Internet - Delivery Services industry, which includes other companies like QuinStreet (QNST) [4] - QuinStreet's consensus EPS estimate has also remained unchanged, with a year-over-year change of 5% [5]

Core Insights - The cancellation of IndiGo flights has led to a surge in demand for bus travel, with private operators and online ticketing platforms capitalizing on the situation to attract more users [1][4]. Group 1: Market Response - Bookings at redBus increased by 17% from December 5 to 8, following flight cancellations from December 1 to 4, with over 30% surge in bookings across 70+ routes in major cities [2][3]. - Demand for short-haul routes, typically dominated by flights, has risen significantly, particularly in Andhra Pradesh and Telangana, indicating a shift in traveler preferences due to airline disruptions [3][4]. - Search volumes for major metro routes increased by 36%, reflecting heightened travel anxiety among users [3]. Group 2: Company Performance - Leafybus, an electric bus operator, reported an increase in occupancy from 90% to 99% due to the rise in demand [6]. - AbhiBus noted a 10-15% increase in bookings across key intercity routes in recent days [7][8]. - FlixBus India experienced a slight increase in demand but is prepared to add capacity as needed [7]. Group 3: Pricing Dynamics - Bus operators have implemented dynamic pricing, with an average fare increase of 25% on high-demand routes; Leafybus raised its ticket price from ₹500 to ₹750 [9]. - Operators are focusing on maintaining customer service and punctuality to retain travelers even after the flight disruptions end [10][11]. Group 4: Industry Growth - The intercity bus ecosystem in India has seen significant growth, with private bus operators selling 140 million seats from April to September, up from 112 million the previous year [11]. - Gross ticket value rose from ₹10,718 crore in 2024 to ₹13,216 crore this year, indicating a robust market expansion [12]. - The number of active private bus operators increased by over 1,000 to 6,073, highlighting the growing competitiveness in the sector [12].

Core Insights - MakeMyTrip (MMYT) stock closed at $71.39, up 1.54% from the previous session, outperforming the S&P 500 which gained 0.54% [1] - The stock has seen a decline of 13.11% over the past month, underperforming the Computer and Technology sector's loss of 1.42% and the S&P 500's loss of 0.8% [1] Earnings Forecast - MakeMyTrip is expected to report an EPS of $0.43, reflecting a 10.26% increase from the same quarter last year [2] - Revenue is projected to be $313.62 million, indicating a 17.3% rise compared to the year-ago quarter [2] Full Year Estimates - For the full year, analysts anticipate earnings of $1.62 per share and revenue of $1.11 billion, representing increases of 3.85% and 13.49% respectively from the previous year [3] Analyst Estimates - Recent adjustments to analyst estimates for MakeMyTrip are indicative of changing short-term business dynamics, with positive revisions suggesting optimism about the company's profitability [4] Zacks Rank and Valuation - MakeMyTrip currently holds a Zacks Rank of 3 (Hold), with a consensus EPS projection having decreased by 29.13% in the last 30 days [6] - The company is trading at a Forward P/E ratio of 43.4, which is significantly higher than the industry average Forward P/E of 12.85 [7] Industry Context - The Internet - Delivery Services industry, part of the Computer and Technology sector, is currently ranked 168 out of over 250 industries, placing it in the bottom 32% [7][8]

Group 1 - Ctrip reported a revenue growth of 16% year-on-year and a net profit increase of 194.01% in Q3 2025, achieving a net profit of 199 billion yuan, surpassing Kweichow Moutai's net profit of 192.2 billion yuan [3][4] - The significant profit increase was partly due to the disposal of certain assets, including a portion of its stake in MakeMyTrip, which contributed 170.32 billion yuan in "other income" [3][4] - Ctrip's gross margin reached 81.55%, significantly higher than other major internet companies like Tencent and NetEase, which reported gross margins of 56.41% and 64.10% respectively [5][7] Group 2 - The hotel booking segment contributed 80 billion yuan in revenue, accounting for 43.72% of total revenue, marking the highest proportion in three years [9] - Ctrip's commission rates for hotels are high, with gold and special hotels facing commissions of 12% and 15% respectively, and additional fees for enhanced visibility [10][12] - Ctrip's market share in the domestic OTA market is projected to be 56% in 2024, significantly ahead of competitors like Tongcheng, Meituan, and Fliggy [12] Group 3 - Ctrip enjoys a strong competitive advantage with no significant direct competitors in the domestic OTA market, allowing it to capitalize on its market leader status [16][17] - The company has strategically invested in and partnered with potential competitors, effectively consolidating the market and reducing price competition [13][14] - Ctrip's focus on service quality has built strong customer loyalty, making it difficult for competitors to attract users away from its platform [16][17]

Core Insights - Ctrip Group reported a significant increase in net profit for Q3 2025, reaching RMB 19.9 billion, a year-on-year growth of 194%, marking a rare instance where net profit exceeded revenue [1] - The profit surge was primarily driven by a strategic exit from a cross-border investment, specifically the sale of part of its stake in Indian online travel giant MakeMyTrip, yielding approximately RMB 17 billion [1][4] - Excluding this investment gain, Ctrip's net profit for Q3 was substantially lower than the previous year's RMB 6.8 billion [1] Financial Performance - Total net revenue for Q3 2023 was RMB 13.74 billion, reflecting a year-on-year increase of 99% [2] - Accommodation revenue reached RMB 5.59 billion, up 92% year-on-year, while transportation revenue surged by 705% to RMB 5.37 billion [2] - Operating profit stood at RMB 3.91 billion, with an operating profit margin of 28.4% [2] Investment Strategy - Ctrip's investment in MakeMyTrip began in January 2016 with an investment of USD 180 million in convertible bonds, marking a strategic move into the Indian market [4] - The investment was based on the potential of the Indian market, which was projected to grow significantly, supported by a rising middle class [4] - Ctrip's stake in MakeMyTrip increased over the years, culminating in a sale of shares in June 2025, reducing its voting rights from 45.3% to 16.9% [5][6] Growth Engines - Ctrip identified three main growth engines: AI technology, inbound tourism, and targeted market segmentation [8][9] - The company is leveraging AI to enhance customer service and operational efficiency, with its AI travel assistant TripGenie seeing a user growth of over 200% [8] - Inbound tourism is highlighted as a rapidly growing segment, with significant potential for growth compared to developed countries [9] Market Challenges - Despite strong Q3 performance, the online travel industry faces renewed price competition, particularly with competitors like JD and Douyin entering the market [12] - Ctrip's management emphasized the importance of quality service over price competition, although market trends may challenge this approach [12] - The recovery of international travel remains slow, with global airline capacity only at 88% of pre-pandemic levels, impacting Ctrip's international growth [12] Marketing and Shareholder Returns - Ctrip is adopting a more refined marketing strategy, adjusting spending based on market maturity and channel characteristics [13] - The company announced a new USD 5 billion stock buyback plan, indicating a commitment to shareholder returns amidst market recovery and competition [13]

Core Viewpoint - Ctrip Group reported a significant increase in net profit for Q3 2025, reaching 19.9 billion RMB, a year-on-year growth of 194%, primarily driven by a strategic exit from its investment in MakeMyTrip, which generated approximately 17 billion RMB in revenue from the sale of shares [1][4]. Investment in MakeMyTrip - Ctrip's investment in MakeMyTrip began in January 2016 with a convertible bond of 180 million USD, marking its entry into the Indian market, which was seen as having high growth potential due to a rapidly rising middle class [4][5]. - The investment was strategically timed, as the IMF projected India's economic growth at 7.5% in 2016, with a significant increase in the middle-class population, providing a strong foundation for tourism consumption [4]. - Over nine years, Ctrip's stake in MakeMyTrip grew, with the book value of the investment reaching 6.2 billion RMB by the end of 2023 and 7.1 billion RMB by the end of 2024, indicating a stable appreciation [5][6]. - In June 2025, Ctrip sold part of its shares in MakeMyTrip for 2.5 to 3 billion USD, reducing its voting rights from 45.3% to 16.9%, transitioning from a strategic to a financial investor [5][6]. Growth Engines - Ctrip's management highlighted three main growth engines: AI technology, inbound tourism, and targeted market segmentation [8][9]. - AI is positioned as a core strategic pillar, with Ctrip's AI travel assistant, TripGenie, expanding its user base significantly, indicating a strong focus on enhancing customer experience through technology [8]. - The inbound tourism sector is identified as a rapidly growing area, with Ctrip noting that China's inbound tourism revenue as a percentage of GDP is significantly lower than that of developed countries, suggesting substantial growth potential [9]. - Ctrip is also focusing on the silver economy, targeting older consumers who have three times the spending power of younger demographics, and has seen significant growth in its "Old Friends Club" membership and transaction volume [9][10]. Market Challenges - Despite strong Q3 performance, the online travel industry faces renewed price competition, with major players like JD and Douyin entering the market [13]. - Ctrip's management emphasized the importance of quality service over price competition, as the market trends indicate a persistent decline in hotel and flight prices [13][14]. - The recovery of international business remains slow, with global airline capacity only at 88% of pre-pandemic levels, which could hinder faster growth for Ctrip's international operations [14]. - Ctrip is adopting a differentiated competitive strategy, including a global SOS service network for customer support and a refined marketing approach based on market maturity [14].

Financial Data and Key Metrics Changes - For Q2 FY 2026, revenue grew 48.5% year over year to INR 3,508 million (approximately $39.5 million) [3][9] - Adjusted EBITDA surged 218% year over year to INR 212 million (or $2.4 million) [4][9] - Profit for the period increased significantly to INR 98.8 million (or $1.1 million), compared to a loss of INR 0.3 million (or $0.1 million) in the prior year [4][10] Business Line Data and Key Metrics Changes - Corporate travel segment onboarded 34 new clients, adding an annual billing potential of INR 2.6 billion (or $29.5 million) [5] - Air ticketing adjusted margin increased 14.7% year on year to INR 1,016 million (or $11.4 million) [9] - Hotels and packages adjusted margin rose 28.6% year on year to INR 514.5 million (or $5.8 million) [9][11] Market Data and Key Metrics Changes - The corporate travel market in India is expected to reach around $20 billion by FY 2027, with online penetration at just about 20% in FY 2024 [4][5] - Total gross bookings across all segments increased 16.2% year on year to INR 2,050.48 million (or $231.0 million) [11] Company Strategy and Development Direction - The company aims to capture growth opportunities through expanded corporate client base and enhanced technology offerings [8] - Focus on digital adoption in both leisure and corporate travel segments, with a commitment to disciplined cost management and profitable scaling [8] - Ongoing restructuring efforts to streamline corporate structure across multiple jurisdictions [7][25] Management's Comments on Operating Environment and Future Outlook - Management noted strong demand and consistent execution across corporate and consumer platforms, with a positive outlook for travel consumption due to tax reductions in India [6][8] - The corporate travel market is growing at approximately 8-9%, with the company growing at nearly double that rate due to technology adoption [15] - Management expressed confidence in moving forward with restructuring despite regulatory complexities [25] Other Important Information - The company has introduced a generative AI-powered travel assistant to enhance user experience [6] - Cash and cash equivalents stood at INR 2,207.8 million (or $24.9 million) as of September 30, 2025 [11] Q&A Session Summary Question: Corporate travel trends in India market - Management indicated that the corporate travel market is growing at about 8-9%, with the company growing at nearly double that rate due to technology adoption [15] Question: M&A potential to accelerate MICE business - Management continues to evaluate M&A opportunities but did not provide specific details at this time [16] Question: Status of restructuring efforts - Management stated that there are still steps to complete on their end, with an uncertain timeline due to multiple regulators involved [17][25] Question: Profitability of consumer business compared to corporate travel - The consumer business accounts for about a third of overall gross bookings and is expected to see gradual profitability improvement [24] Question: Timeline for restructuring completion - Management estimated that restructuring should take less than a year, but it is subject to regulatory approvals [26] Question: Plans to address valuation gap with peers - Management is working on introducing fungibility to shares to align US and Indian valuations [31][33]

Market Overview - The total market capitalization of new-age tech companies decreased to $109.15 billion from $110.93 billion over the past week [2] - A mixed performance was observed among 42 new-age tech companies, with 26 companies experiencing share declines between 0.17% and over 15%, while 16 companies saw gains ranging from 0.01% to over 33% [1][8] Company Performance - ixigo reported a net loss of INR 3.5 crore for Q2, down from a profit of INR 13.1 crore in the same quarter last year, primarily due to one-time ESOP expenses of INR 26.9 crore [21] - Operating revenue for ixigo increased by 36% year-over-year to INR 282.7 crore, but showed a sequential decline of 10% from INR 314.5 crore [21] - CarTrade's shares rose by 18.44% after the company reported a net profit of INR 64.1 crore for Q2, more than doubling from INR 30.7 crore a year ago, with operating revenue increasing by 25% year-over-year to INR 193.4 crore [18][19] IPO and Market Sentiment - Lenskart's IPO opened with a 110% subscription on the first day, despite concerns over high valuations [16] - Fintech unicorn Groww filed for a INR 6,600 crore IPO, while Pine Labs filed for a fresh issue of INR 2,080 crore [16][17] - The Indian equities market saw a decline, with Sensex and Nifty 50 both dipping by 0.3%, attributed to profit booking and regulatory changes proposed by SEBI [14]

Core Viewpoint - MakeMyTrip Ltd (MMYT) continues to show solid growth, with no changes to its long-term drivers as travel demand remains strong [1] Group 1: Company Performance - The company has been previously rated as a buy due to its consistent growth and the ongoing demand for travel [1] - MMYT is actively engaged in managing its capital and investment strategies, indicating a focus on optimizing performance [1] Group 2: Investment Strategy - The investment approach includes a combination of fundamental, technical, and momentum investing, highlighting a diversified strategy to enhance investment outcomes [1] - The author aims to track investment ideas and connect with like-minded investors through the platform, suggesting a community-driven investment philosophy [1]

Core Insights - MakeMyTrip reported quarterly earnings of $0.37 per share, missing the Zacks Consensus Estimate of $0.45 per share, representing an earnings surprise of -17.78% [1] - The company posted revenues of $229.34 million for the quarter ended September 2025, missing the Zacks Consensus Estimate by 13.22% [2] - MakeMyTrip shares have declined approximately 19.9% since the beginning of the year, contrasting with the S&P 500's gain of 16.9% [3] Earnings Performance - Over the last four quarters, MakeMyTrip has surpassed consensus EPS estimates only once [2] - The current consensus EPS estimate for the upcoming quarter is $0.59, with expected revenues of $337.09 million, and for the current fiscal year, the estimate is $2.16 on revenues of $1.19 billion [7] Industry Outlook - The Internet - Delivery Services industry, to which MakeMyTrip belongs, is currently in the top 11% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact MakeMyTrip's stock performance [5]