RateGain founder and MD Bhanu Chopra said that the startup is aiming to double its revenue by FY27 compared to FY24
The travel tech SaaS startup is banking on the booming demand in India’s hospitality and tourism sector and the use of artificial intelligence to cut operational costs
RateGain clocked a revenue of INR 998.59 Cr in the fiscal year ended March 2024 (FY24), up 70.7% from INR 585.06 Cr in FY23 on strong demand
Listed travel tech SaaS startup Rategain
is looking to double its revenue in the next three years as the company leverages artificial intelligence to cut operational costs and demand booms in India’s hospitality and tourism sector, its founder and managing director Bhanu Chopra said.
During the company’s 12th annual general meeting on Monday (September 16), Chopra said that RateGain aims to double its revenue by FY27 compared to FY24.
“… the growth in Q1 has been pretty healthy at 21% and organically and inorganically combined to get to the goal of doubling our revenues entails about 26% CAGR and we’re confident that we should be able to achieve that over the next three years,” Chopra said.
Founded in 2004 by Bhanu Chopra, RateGain is a global provider of SaaS solutions for travel and hospitality sectors, enabling enterprises to accelerate revenue growth through acquisition, retention and wallet share expansion. The startup claims to cater to more than 3,200 customers and has a presence in over 100 countries.
It is pertinent to note that RateGain clocked a revenue of INR 998.59 Cr in the fiscal year ended March 2024 (FY24), up 70.7% from INR 585.06 Cr in FY23 on strong demand.
The RateGain MD also said that the company is looking to expand its EBITDA margins by about 150 basis points to 200 basis points over the course of FY25, in line with its Q1 FY25 numbers.
RateGain plans to deepen its presence in certain geographies in the US and European markets, which remain key focus markets for the company, said Divik Anand, senior director of investor relations & corporate development at RateGain.
While key geographies within Europe are witnessing a strong summer season, Asia Pacific is still seeing strong tailwinds, given it is one of the last geographies to open up following the COVID-19 lockdowns, Anand noted.
Anand remains bullish on the company’s prospects in the international market. With the recreational and leisure travel segment seeing a healthy discretionary spending by consumers, it opens new opportunities for RateGain to expand its position there, he said.
RateGain is also looking to acquire new companies in the travel tech space and is in talks with some potential targets, according to Anand. The company is currently focusing on adding new customers, enhancing its product capabilities to better serve existing customers and competition.
RateGain reported a 82% jump in its consolidated profit after tax (PAT) at INR 45.37 Cr in the first quarter of the financial year 2024-25 from INR 24.91 Cr in the year-ago quarter.
Operating revenue rose 26% year-on-year to INR 278.28 Cr in Q1 FY25.
By Inc42 Media
Source: Inc42 Media