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YTRA Yatra Online

Filed: 11 Feb 21, 5:00pm

 

Exhibit 99.1

 

YATRA ONLINE, INC. ANNOUNCES RESULTS FOR

THE THREE MONTHS ENDED DECEMBER 31, 2020

 

Gurugram, India and New York February 4, 2021— Yatra Online, Inc. (NASDAQ: YTRA, OTCQX: YTROF), India's leading corporate travel services provider and one of India's leading online travel companies, today announced its unaudited financial and operating results for the three months ended December 31, 2020

 

“India continues to make good progress in its fight against Covid. The number of cases in India in January 2021 is trending at about 12,000 a day down from the peak of 90,000 a day, based on data from Indian Health Ministry. We believe this steady decline in cases over the past few months is giving consumers the confidence to travel domestically. We have seen airline capacity and loads improving, with domestic December traffic averaging approximately 230,000 passengers a day, up from 125,000 a day in September. December 2020 passenger traffic now stands at 56.3% of December 2019 levels based on data from “Directorate General of Civil Aviation India”.”

 

“This recovery in domestic travel led to a sequential quarterly growth of 60% in our Adjusted Revenue to INR 606.6 million (USD 8.3 million).  This growth in revenue further combined with strong cost control enabled us to reduce our adjusted EBITDA loss sequentially from INR 125.0 million (USD 1.7 million) in the September 2020 quarter to INR 36.4 million (USD 0.5 million) in the December 2020 quarter. We continue to make strong progress towards our stated goal of achieving Adjusted EBITDA break even in the first half of 2021 and believe our current liquidity position and cost optimization efforts provide us with enough capital to withstand a prolonged slowdown in the travel industry should that occur.” Dhruv Shringi, Co-founder and CEO.

 

Financial and operating highlights for the three months ended December 31, 2020:

 

·Revenue of INR 309.1 million (USD 4.2 million).
·Adjusted Revenue(1) improved to INR 606.6 million (USD 8.3 million), representing an increase of 60.6% quarter over quarter (“QoQ”) versus a decrease of 61.8% YOY.
·Adjusted Revenue(1) from Air Ticketing improved to INR 428.5 million (USD 5.9 million), representing an increase of 69.2% QoQ versus a decrease of YOY 58.1% .
·Adjusted Revenue(1) from Hotels and Packages improved to INR 109.6 million (USD 1.5 million), representing an increase of 140.8% QoQ verses a decrease of 48.8% YOY.
·Total Gross Bookings (Air Ticketing and Hotels and Packages) (3) improved to INR 5,758.1 million (USD 78.9 million) QoQ versus decrease of INR 15,344 million (USD 210.2 million) YOY.
·Loss for the period was INR 216.9 million (USD 3.0 million) versus a loss of INR 300.6 million (USD 4.1 million) reflecting an improvement of INR 83.7 million (USD 1.1 million) QoQ.
·Adjusted EBITDA (2) Loss was INR 36.4 million (USD 0.50 million) reflecting an improvement of INR 88.6 million (USD 1.2 million) QoQ versus a loss of INR 125.0 million (USD 1.7 million).

 

 

 

 

  Three months ended September 30, 2020  Three months ended December 31, 2020  Three months ended December 31, 2020  QOQ Change 
  Unaudited    
(In thousands except percentages) INR  INR  USD  % 
Financial Summary as per IFRS            
Revenue  263,294   309,102   4,234   17.4%
Results from operations  (288,659)  (197,548)  (2,705)  31.6%
Loss for the period  (300,614)  (216,914)  (2,970)  27.8%
Financial Summary as per non-IFRS measures                
Adjusted Revenue (1)  377,716   606,614   8,309   60.6%
Air Ticketing  253,200   428,537   5,870   69.2%
Hotels and Packages  45,538   109,641   1,502   140.8%
Others (Including Other Income)  78,978   68,436   937   13.3%
Adjusted EBITDA (2)  (125,022)  (36,388)  (498)  70.9%
Operating Metrics                
Gross Bookings (3)  1,687,712   5,758,140   78,868   241.2%
Air Ticketing  1,577,609   5,140,396   70,407   225.8%
Hotels and Packages  110,103   617,744   8,461   461.1%
Quantitative details (5)                
Air Passengers Booked  464   910       96.1%
Stand-alone Hotel Room Nights Booked  39   199       409.0%
Packages Passengers Travelled  1   1       12.2%

 

  Three months ended December 31,    
  2019  2020  2020  YOY Change 
  Unaudited    
(In thousands except percentages) INR  INR  USD  % 
Financial Summary as per IFRS            
Revenue  1,966,805   309,102   4,234   (84.3)%
Results from operations  29,090   (197,548)  (2,705)  (779.1)%
Profit/ (Loss) for the period  112,878   (216,914)  (2,970)  (292.2)%
Financial Summary as per non-IFRS measures                
Adjusted Revenue (1)  1,586,562   606,614   8,309   (61.8)%
Air Ticketing  1,021,726   428,537   5,870   (58.1)%
Hotels and Packages  214,164   109,641   1,502   (48.8)%
Others (Including Other Income)  350,672   68,436   937   (80.5)%
Adjusted EBITDA (2)  205,036   (36,388)  (498)  (117.7)%
Operating Metrics                
Gross Bookings (3)  21,101,933   5,758,140   78,868   (72.7)%
Air Ticketing  19,042,527   5,140,396   70,407   (73.0)%
Hotels and Packages  2,059,406   617,744   8,461   (70.0)%
Net Revenue Margin% (4)                
Air Ticketing  5.4%  8.3%        
Hotels and Packages  10.4%  17.7%        
Quantitative details (5)                
Air Passengers Booked  2,047   910       (55.6)%
Stand-alone Hotel Room Nights Booked  300   199       (33.8)%
Packages Passengers Travelled  28   1       (96.0)%

 

 

 

 

 

 

Note:

(1)Adjusted Revenue represents revenue and other income after deducting service costs and adding back expenses related to consumer promotions and loyalty program costs that has been reduced from revenue. See section “Certain Non-IFRS Measures.”

(2)    See the section below titled “Certain Non-IFRS Measures.”

(3)Gross Bookings represent the total amount paid by our customers for travel services and products booked through us, including taxes, fees and other charges, and are net of cancellation fees and refunds..
(4)Net Revenue Margin is defined as Adjusted Revenue as a percentage of Gross Booking. Given the higher cancellations against the new bookings, the Net Revenue Margin number is not comparable for the three months ended September 30, 2020.
(5)Quantitative details are considered on a gross basis.

 

As of December 31, 2020, 61,420,404 shares (on an as-converted basis), par value $0.0001 per share were issued and outstanding.

 

Convenience Translation

 

The unaudited condensed consolidated financial statements are stated in INR. However, solely for the convenience of readers, the unaudited interim condensed consolidated statement of profit or loss and other comprehensive loss for the three months and nine months ended December 31, 2020, the unaudited interim condensed consolidated statement of financial position as of December 31, 2020, the unaudited interim condensed consolidated statement of cash flows for nine months ended and discussion of the results of the three months ended December 31, 2020 compared with three months ended December 31, 2019 and compared with three months ended September 30, 2020, were converted into U.S. dollars at the exchange rate of 73.01 INR per USD, which is based on the noon buying rate as at December 31, 2020, in The City of New York for cable transfers of Indian rupees as certified for customs purposes by the Federal Reserve Bank of New York. This arithmetic conversion should not be construed as representation that the amounts expressed in INR may be converted into USD at that or any other exchange rate as well as that such numbers are in compliance as per the requirements of the International Financial Reporting Standards (“IFRS”).

 

Recent Developments

 

COVID-19 Pandemic

 

The impact of the novel strain of coronavirus ("COVID-19"), which was initially detected in China in December 2019 and subsequently spread globally, is gradually being contained by the global community. In recent months, India has also begun its recovery from the effects of the COVID-19 pandemic, evidenced by increased economic activity in India, both generally and within the travel industry. India has also started a vaccination program, immunizing individuals in a staggered fashion beginning with frontline workers and, with this and certain other measures in place, the restrictions imposed on travel are being gradually phased out. The Company has adopted certain cost control measures, which we believe have helped mitigate the economic impact of the COVID-19 pandemic on our business.

 

Ebix Litigation Update

 

As previously disclosed, on June 5, 2020, the Group provided to Ebix, Inc. ("Ebix") a notice terminating the Merger Agreement dated as of July 16, 2019 by and among us, Ebix, and EbixCash Travels Inc. ("EbixCash") and filed a complaint in the Court of Chancery of the State of Delaware against Ebix and EbixCash for their various breaches of the Merger Agreement and an ancillary agreement executed by the parties on May 14, 2020 (the "Extension Agreement").  The Complaint alleges that Ebix breached its representations, warranties, covenants, and obligations in the Merger Agreement and Extension Agreement and that its conduct prevented the parties from closing the Merger. The Complaint seeks monetary damages, pre-judgment and post-judgment interest, and reasonable fees and costs. On August 14, 2020, Ebix filed  a motion to dismiss the Complaint, which the Group is in the process of responding to. On September 30, 2020, Yatra filed an amended complaint by expanding its claims against certain banks of Ebix, while also expanding the claims alleged against Ebix to include a claim for fraud. The Court has scheduled a hearing for arguments concerning the motion to dismiss on Mar 22, 2021.

 

 

 

 

Results of Three Months Ended December 31, 2020

 

Revenue.  We generated revenue of INR 309.1 million (USD 4.2 million) in the three months ended December 31, 2020, a decrease of 84.3% compared with INR 1,966.8 million (USD 26.9 million) in three months ended December 31, 2019. The decrease in revenue was primarily due to the impact of the COVID-19 pandemic, including lower travel demand due to travel restrictions. Our revenue in the current reported three months ended increased from INR 263.3 million (USD 3.6 million) in the three months ended September 30, 2020; an improvement of INR 45.8 million (USD 0.6 million) quarter on quarter due to gradual recovery in travel demand.

 

Service Cost.  Our service cost decreased to INR 5.9 million (USD 0.1 million) in the three months ended December 31, 2020 from INR 807.5 million (USD 11.1 million) in the three months ended December 31, 2019 primarily due to the significant decrease in our sales of holiday packages due to the impact of the COVID-19 pandemic, including lower travel demand due to travel restrictions.

 

Adjusted Revenue(1)  Our Adjusted Revenue decreased by 61.8% to INR 606.6 million (USD 8.3 million) in the three months ended December 31, 2020 from INR 1,586.6 million (USD 21.7 million) in the three months ended December 31, 2019. Adjusted Revenue includes the add-back of INR 287.6 million (USD 3.9 million) in the three months ended December 31, 2020 from INR 402.3 million (USD 5.5 million) in the three months ended December 31, 2019, of expenses in the nature of consumer promotion and certain loyalty program costs reduced from revenue. These expenses have been added back to calculate Adjusted Revenue, with the accompanying increase in marketing and sales promotions expenses, to more accurately reflect the way we view our ongoing business. Under IFRS 15, these expenses are required to be reduced from revenue, an IFRS measure. The decrease in Adjusted Revenue resulted mainly from a decrease of 58.1% in our Adjusted Revenue from Air Ticketing along with a decrease of 48.8% in our Adjusted Revenue from Hotels and Packages and decrease of 80.5% in Others (Including Other Income) which primarily consists of advertisement income and government grants.

 

On a sequential basis Adjusted Revenue increased by 60.6% compared to Adjusted Revenue of INR 377.7 million (USD 5.2 million) in the three months ended September 30, 2020 due to a gradual recovery in travel demand, largely within the domestic market.

 

 

The following table reconciles our Revenue (an IFRS measure) to Adjusted Revenue (a non-IFRS measure), For further details, see section below titled “Certain Non-IFRS Measures.”

 

Reconciliation of Revenue (an IFRS measure) to Adjusted Revenue
(a non-IFRS measure)                        
  Air Ticketing  Hotels and Packages  Others  Total 
  Three months ended December 31, 
Amount in INR thousands (Unaudited) 2019  2020  2019  2020  2019  2020  2019  2020 
Revenue  648,511   217,721   1,002,222   44,220   316,072   47,161   1,966,805   309,102 
Add: Customer promotional expenses  373,215   210,816   19,465   71,337   9,601   5,466   402,281   287,619 
Service cost  -   -   (807,523)  (5,916)  -   -   (807,523)  (5,916)
Other income  -   -   -   -   -   -   24,999   15,809 
Adjusted Revenue  1,021,726   428,537   214,164   109,641   325,673   52,627   1,586,562   606,614 

 

Air Ticketing. Revenue from our Air Ticketing business was INR 217.7 million (USD 3.0 million) in the three months ended December 31, 2020 against INR 648.5 million (USD 8.9 million) in the three months ended December 31, 2019 against INR 181.4 million (USD 2.5 million) in the three months ended September 30, 2020.

 

Adjusted Revenue (1) from our Air Ticketing business decreased to INR 428.5 million (USD 5.9 million) in the three months ended December 31, 2020 against INR 1,021.7 million (USD 14.0 million) in the three months ended December 31, 2019. Adjusted Revenue (1) for Air Ticketing includes the addition of INR 210.8 million (USD 2.9 million) in the three months ended December 31, 2020 against INR 373.2 million (USD 5.1 million) in the three months ended December 31, 2019 of consumer promotion and loyalty program costs, which reduced revenue as per IFRS 15. The decline in Adjusted Revenue (1) from Air Ticketing for the quarter was primarily due to the impact of the COVID-19 pandemic, including lower travel demand due to travel restrictions.

 

Air Ticketing Adjusted Revenue improved 69.2% sequentially in the three months ended December 31, 2020 versus INR 253.2 million (USD 3.4 million) in the three months ended September 30, 2020 due to improving travel demand. Air passengers travelled almost doubled sequentially up 96% to 910 thousand passengers in the December 2020 quarter.

 

 

 

 

Hotels and Packages. Revenue from our Hotels and Packages business was INR 44.2 million (USD 0.6 million) in the three months ended December 31, 2020 against INR 1,002.2 million (USD 13.7 million) in the three months ended December 31, 2019 against INR 35.7 million (USD 0.5 million) in the three months ended September 30, 2020.

.

Adjusted Revenue (1) for this segment decreased by 48.8% to INR 109.6 million (USD 1.5 million) in the three months ended December 31, 2020 from INR 214.2 million (USD 2.9 million) in the three months ended December 31, 2019. In the three months ended December 31, 2020, Adjusted Revenue (1) for Hotels & Packages includes the add-back of INR 71.3 million (USD 1.0 million) against INR 19.5 million (USD 0.3 million) in the three months ended December 31, 2019, of customer promotional expenses, which had been reduced from revenue as per IFRS 15. This decrease was primarily due to the impact of the COVID-19 pandemic, including lower travel demand due to travel restrictions.

 

Adjusted Revenue from this segment improved sequentially by 140.8% to INR 109.6 million (USD 1.5 million) in the three months ended December 31, 2020 versus INR 45.5 million (USD 0.6 million) in the three months ended September 30, 2020.

 

Other Revenue.  Our other revenue was INR 47.2 million (USD 0.6 million) in the three months ended December 31, 2020, a decrease from INR 316.1 million (USD 4.3 million) in the three months ended December 31, 2019 against INR 46.3 million (USD 0.6 million) in the three months ended September 30, 2020.

.

Adjusted Revenue for this segment decreased by 83.8% to INR 52.6 million (USD 0.7 million) in the three months ended December 31, 2020 from INR 325.7 million (USD 4.5 million) in the three months ended December 31, 2019. Adjusted Revenue includes add-back of INR 5.5 million (USD 0.07 million) in the three months ended December 31, 2020 against INR 9.6 million (USD 0.1 million) in the three months ended December 31, 2019 of consumer promotion expenses, which had been reduced from revenue as per IFRS 15. This decrease in Adjusted Revenue was primarily due to decrease in advertisement and alliances income.

 

Adjusted Other Revenue increased sequentially to INR 52.6 million (USD 0.7 million) in the three months ended December 31, 2020 from INR 48.7 million (USD 0.7 million) in the three months ended September 30, 2020.

 

Other Income.  Our other income decreased to INR 15.8 million (USD 0.2 million) in the three months ended December 31, 2020 from INR 25.0 million (USD 0.3 million) in the three months ended December 31, 2019 due to decrease in eligible sales for government grant.

 

Personnel Expenses.  Our personnel expenses decreased by 58.0% to INR 180.3 million (USD 2.5 million) in the three months ended December 31, 2020 from INR 429.4 million (USD 5.9 million) in the three months ended December 31, 2019. This decrease was primarily due to a rationalization of headcount and reducing management salaries by 50% and variable reduction in salaries of 25-75% across the board. Excluding employee share-based compensation costs of INR 19.0 million (USD 0.3 million) in the three months ended December 31, 2020 from INR (0.3) million (USD (0.01) million) in the three months ended December 31, 2019, personnel expenses decreased by 62.5% in the three months ended December 31, 2020. During the three months ended December 31, 2020, the Company has incurred one time exit cost of INR 2.3 million (USD 0.03 million).

 

Marketing and Sales Promotion Expenses. Marketing and sales promotion expenses decreased by 3.3% to INR 26.7 million (USD 0.4 million) in the three months ended December 31, 2020 from INR 27.6 million (USD 0.4 million) in the three months ended December 31, 2019, post adoption of IFRS 15 on April 1, 2018. Adding back the expenses for consumer promotions and loyalty program costs, which have been reduced from revenue per IFRS 15, our marketing spend would have been INR 314.3 million (USD 4.3 million) against INR 429.8 million (USD 5.9 million) in the three months ended December 31, 2019, 26.9% lower year-over-year for the quarter.

 

Other Operating Expenses.  Other operating expenses decreased by 67.9% to INR 167.4 million (USD 2.3 million) in the three months ended December 31, 2020 from INR 522.0 million (USD 7.1 million) in the three months ended December 31, 2019 primarily due to decrease in commission, payment gateway charges, rent, and travelling and conveyance charges, communication, legal and professional charges, outsourcing fees which is marginally offset by provision for doubtful debts.

 

Adjusted EBITDA profit/ (loss)(1). Due to the forgoing factors, adjusted EBITDA profit(1) decreased by 117.7% to INR (36.4) million (USD (0.50) million) in the three months ended December 31, 2020 from adjusted EBITDA profit(1) of INR 205.0 million (USD 2.8 million) in the three months ended December 31, 2019. On a sequential basis adjusted EBITDA improved by INR 88.6 million.

 

 

 

 

Depreciation and Amortization.  Our depreciation and amortization expenses decreased by 19.3% to INR 142.2 million (USD 1.9 million) in the three months ended December 31, 2020 from INR 176.3 million (USD 2.4 million) in the three months ended December 31, 2019 primarily as a result of decrease in depreciation on tangible assets and amortization of intangible assets.

 

Results from Operations. As a result of the foregoing factors, our result from operating activities was a loss of INR 197.5 million (USD 2.7 million) in the three months ended December 31, 2020. Our profit for the three months ended December 31, 2019 was INR 29.1 million (USD 0.4 million). Excluding the employee share-based compensation costs, Adjusted Results from Operations(1) would have been loss of INR 178.6 million (USD 2.4 million) for three months ended December 31, 2020 as compared to profit of INR 28.8 million (USD 0.4 million) for three months ended December 31, 2019.

 

Share of Loss of Joint Venture. This loss pertains to a joint venture investment that operates in adventure travel activities. Our loss from this joint venture is INR 1.7 million (USD 0.02 million) in the three months ended December 31, 2020 from loss of INR 3.6 million (USD 0.05 million) in the three months ended December 31, 2019.

 

Finance Income. Our finance income increased to INR 13.5 million (USD 0.2 million) in the three months ended December 31, 2020 from INR 10.9 million (USD 0.1 million) in the three months ended December 31, 2019. The increase was primarily due to an increase in the interest income from our bank deposits.

 

Finance Costs. Our finance costs decreased to INR 28.5 million (USD 0.4 million) includes interest on the lease liability on adoption of IFRS 16 of INR 18.0 million (USD 0.2 million) in the three months ended December 31, 2020 as compared to INR 50.8 million (USD 0.7 million) includes interest on the lease liability on adoption of IFRS 16 of INR 17.9 million (USD 0.2 million) in the three months ended December 31, 2019. The decrease was due to decrease in interest on borrowings which is partially offset by increase in loss on account of foreign exchange fluctuation.

 

Change in fair value of warrants. The change in the fair market value of warrants resulted in a loss of INR 10.3 million (USD 0.1 million) during the three months ended December 31, 2020.

 

Income Tax Expense.  Our income tax credit during the three months ended December 31, 2020 was INR 7.7 million (USD 0.1 million) compared to an expense of INR 6.5 million (USD 0.1 million) during the three months ended December 31, 2019.

 

Profit/ (Loss) for the Period. As a result of the foregoing factors, our loss in the three months ended December 31, 2020 was INR 216.9 million (USD 3.0 million) as compared to a profit of INR 112.9 million (USD 1.5 million) in the three months ended December 31, 2019. Excluding the employee share based compensation costs and net change in fair value of warrants, the Adjusted Loss(1) would have been INR 187.6 million (USD 2.6 million) for three months ended December 31, 2020 and INR 21.2 million (USD 0.3 million) for three months ended December 31, 2019.

 

Basic Profit/ (Loss) per Share. Basic loss per share was INR 3.52 (USD 0.05) in the three months ended December 31, 2020 as compared to Basic profit per share of INR 2.42 (USD 0.03) in the three months ended December 31, 2019. After excluding the employee share-based compensation costs and net change in fair value of warrants Adjusted Basic Loss per Share(1) would have been INR 3.05 (USD 0.04) in the three months ended December 31, 2020, as compared Adjusted Basic Loss Per Share (1) INR 0.43 (USD 0.01) in the three months ended December 31, 2019.

 

Diluted Profit/ (Loss) per Share. Diluted loss per share was INR 3.52 (USD 0.05) in the three months ended December 31, 2020 as compared to Diluted profit per share of INR 2.39 (USD 0.03) in the three months ended December 31, 2019. After excluding the employee share-based compensation costs and net change in fair value of warrants, Adjusted Diluted Loss per Share(1) would have been INR 3.05 (USD 0.04) in the three months ended December 31, 2020 as compared to Adjusted Diluted Loss Per Share (1) INR 0.45 (USD 0.01) in the three months ended December 31, 2019.

 

Liquidity. As of December 31, 2020 , the balance of cash and cash equivalents and term deposits on our balance sheet was INR 2,461.3 million (USD 33.7 million).

 

 

(1)See the section titled “Certain Non-IFRS Measures.”

 

 

 

 

 

Conference Call

 

Yatra will host a conference call to discuss the Company’s unaudited results for the three months ended December 31, 2020 beginning at 8:30 AM Eastern Daylight Time (or 7:00 PM India Standard Time) on February 4, 2021. Dial in details for the conference call are as follows: US/International dial-in number: +1-323-347-3278. Confirmation Code: 4993156 (Callers should dial in 5-10 minutes prior to the start time and provide the operator with the Confirmation Code).

 

Certain Non-IFRS Measures

 

As certain parts of our revenue are recognized on a “net” basis and other parts of our revenue are recognized on a “gross” basis, we evaluate our financial performance based on Adjusted Revenue, which is a non-IFRS measure. Effective April 1, 2018, we adopted the new revenue recognition standard, IFRS 15, under which promotional expenses in the nature of customer inducement/acquisition costs for acquiring customers and promoting transactions across various booking platforms, such as upfront incentives and loyalty programs cost, some of which, when incurred were previously recorded as marketing and sales promotion costs, are now being recorded as a reduction of revenue.

 

We believe that Adjusted Revenue provides investors with useful supplemental information about the financial performance of our business and more accurately reflects the value addition of the travel services that we provide to our customers. The presentation of this non-IFRS information is not meant to be considered in isolation or as a substitute for our unaudited condensed consolidated financial results prepared in accordance with IFRS as issued by the International Accounting Standards Board (“IASB”). Our Adjusted Revenue may not be comparable to similarly titled measures reported by other companies due to potential differences in the method of calculation.

 

In addition to referring to Adjusted Revenue, we also refer to Adjusted EBITDA Profit/ (Loss), Adjusted Results from Operations, Adjusted Loss for the Period and Adjusted Basic and Adjusted Diluted Loss Per Share which are also non-IFRS measures. For our internal management reporting, budgeting and decision making purposes, including comparing our operating results to that of our competitors, these non-IFRS financial measures exclude employee share-based compensation cost and change in fair value of warrants. Our non-IFRS financial measures reflect adjustments based on the following:

 

·Employee share-based compensation cost - The compensation cost to be recorded is dependent on varying available valuation methodologies and subjective assumptions that companies can use while valuing these expenses especially when adopting IFRS 2 “Share-based Payment”. Thus, the management believes that providing non-IFRS financial measures that exclude such expenses allows investors to make additional comparisons between our operating results and those of other companies.

 

·Change in fair value of warrants - Consequent to consummation of the business combination, the Company assumed 34.67 million warrants having a right to subscribe for 17.33 million ordinary shares of the Company and the warrants issued to Macquarie Corporate Holdings PTY Limited. The accounting guidance requires that we record any change in the fair value of these warrants in consolidated statement of profit or loss and other comprehensive loss. We have excluded the effect of the implied fair value changes in calculating our non-IFRS financial measures.

 

We evaluate the performance of our business after excluding the impact of above measures and believe it is useful to understand the effects of these items on our results from operations, Profit for the period and basic and diluted loss per share. The presentation of these non-IFRS measures is not meant to be considered in isolation or as a substitute for our unaudited condensed consolidated financial results prepared in accordance with IFRS as issued by the IASB. These non-IFRS measures may not be comparable to similarly titled measures reported by other companies due to potential differences in the method of calculation.

 

A limitation of using Adjusted EBITDA profit /(loss), Adjusted Results from Operations, Adjusted Loss for the Period and Adjusted Basic and Adjusted Diluted loss Per Share as against using the measures in accordance with IFRS as issued by the IASB are that these non-IFRS financial measures exclude share-based compensation cost, change in fair value of warrants and depreciation and amortization in case of Adjusted EBITDA profit /(loss). Management compensates for this limitation by providing specific information on the IFRS amounts excluded from Adjusted EBITDA profit /(loss), Adjusted Results from Operations, Adjusted Loss for the Period and Adjusted Basic and Adjusted Diluted Loss Per Share.

 

 

 

 

The following table reconciles our Profit/ (Loss) for the periods (an IFRS measure) to Adjusted EBITDA (a non-IFRS measure) for the periods indicated:

 

Reconciliation of Adjusted EBITDA Profit/ (Loss)  (unaudited) Three months ended  Nine months ended December 31, 
Amount in INR thousands December 31, 2019  September 30, 2020  December 31, 2020  2019  2020 
Profit/ (Loss) for the period as per IFRS  112,878   (300,614)  (216,914)  (653,567)  (596,990)
Employee share-based compensation costs  (319)  27,277   18,953   4,383   46,680 
Depreciation and amortization  176,265   136,360   142,207   509,034   437,955 
Share of loss of joint venture  3,574   (360)  1,709   7,952   3,206 
Finance income  (10,937)  (22,569)  (13,517)  (47,333)  (67,478)
Finance costs  50,820   31,420   28,547   150,722   98,664 
Change in fair value of warrants  (133,769)  3,990   10,326   (61,083)  (384,279)
Tax expense  6,524   (526)  (7,699)  31,116   (8,533)
Adjusted EBITDA Profit/ (Loss)  205,036   (125,022)  (36,388)  (58,776)  (470,775)

 

The following table reconciles our Results from Operations (an IFRS measure) to Adjusted Results from Operations (a non-IFRS measure) for the periods indicated:

 

Reconciliation of Adjusted Results from
Operations (unaudited)

 Three months ended  Nine months ended December 31, 
Amount in INR thousands December 31, 2019  September 30, 2020  December 31, 2020  2019  2020 
Results from operations (as per IFRS)  29,090   (288,659)  (197,548)  (572,193)  (955,410)
Employee share-based compensation costs  (319)  27,277   18,953   4,383   46,680 
Adjusted Results from Operations  28,771   (261,382)  (178,595)  (567,810)  (908,730)

  

The following table reconciles Profit/(Loss) for the periods (an IFRS measure) to Adjusted Loss (a non-IFRS measure) for the periods indicated:

 

Reconciliation of Adjusted Loss (unaudited) Three months ended  Nine months ended December 31, 
Amount in INR thousands December 31, 2019  September 30, 2020  December 31, 2020  2019  2020 
Profit/ (Loss) for the period (as per IFRS)  112,878   (300,614)  (216,914)  (653,567)  (596,990)
Employee share-based compensation costs  (319)  27,277   18,953   4,383   46,680 
Net change in fair value of warrants  (133,769)  3,990   10,326   (61,083)  (384,279)
Adjusted Loss for the Period  (21,210)  (269,347)  (187,635)  (710,267)  (934,589)

 

The following tables reconcile Basic and Diluted Profit/(Loss) per share (an IFRS measure) to Adjusted Basic and Adjusted Diluted loss per share (a non-IFRS measure) for the periods indicated:

 

  Three months ended  Nine months ended December 31, 
Reconciliation of Adjusted Basic Profit/ (Loss) (Per Share) (unaudited) December 31, 2019  September 30, 2020  December 31, 2020  2019  2020 
Basic profit/ (loss) per share (as per IFRS)  2.42   (4.88)  (3.52)  (13.93)  (10.39)
Employee share-based compensation costs  0.03   0.44   0.31   0.09   0.82 
Net change in fair value of warrants  (2.88)  0.07   0.17   (1.31)  (6.79)
Adjusted Basic Loss Per Share  (0.43)  (4.37)  (3.05)  (15.15)  (16.36)

 

  Three months ended  Nine months ended December 31, 
Reconciliation of Adjusted Diluted Proft/ (Loss) (Per Share) (unaudited) December 31, 2019  September 30, 2020  December 31, 2020  2019  2020 
Diluted profit/ (loss) per share (as per IFRS)  2.39   (4.89)  (3.52)  (13.93)  (10.42)
Employee share-based compensation costs  (0.01)  0.44   0.31   0.09   0.81 
Net change in fair value of warrants  (2.83)  0.06   0.17   (1.31)  (6.71)
Adjusted Diluted Loss Per Share  (0.45)  (4.39)  (3.05)  (15.15)  (16.32)

 

 

 

 

 

The following table reconciles our Revenue (an IFRS measure), to Adjusted Revenue (a non-IFRS measure):

 

Reconciliation of Revenue (an IFRS measure) to Adjusted Revenue (a non-IFRS measure)

 

  Air Ticketing  Hotels and Packages  Others  Total 
  Three months ended December 31, 
Amount in INR thousands (Unaudited) 2019  2020  2019  2020  2019  2020  2019  2020 
Revenue  648,511   217,721   1,002,222   44,220   316,072   47,161   1,966,805   309,102 
Add: Customer promotional expenses  373,215   210,816   19,465   71,337   9,601   5,466   402,281   287,619 
Service cost  -   -   (807,523)  (5,916)  -   -   (807,523)  (5,916)
Other income  -   -   -   -   -   -   24,999   15,809 
Adjusted Revenue  1,021,726   428,537   214,164   109,641   325,673   52,627   1,586,562   606,614 

 

  Air Ticketing  Hotels and Packages  Others  Total 
  Nine months ended December 31, 
Amount in INR thousands (Unaudited) 2019  2020  2019  2020  2019  2020  2019  2020 
Revenue  2,127,985   556,554   2,980,416   90,412   866,943   117,439   5,975,344   764,405 
Add: Customer promotional expenses  1,070,339   295,366   91,279   85,146   26,191   8,974   1,187,809   389,486 
Service cost  -   -   (2,456,414)  (8,474)  -   -   (2,456,414)  (8,474)
Other income  -   -   -   -   -   -   108,206   75,141 
Adjusted Revenue  3,198,324   851,920   615,281   167,084   893,134   126,413   4,814,945   1,220,558 

 

  Air Ticketing  Hotels and Packages  Others  Total 
  Three months ended September 30, 
Amount in INR thousands (Unaudited) 2020  2020  2020  2020 
Revenue  181,375   35,669   46,250   263,294 
Add: Customer promotional expenses  71,825   12,426   2,430   86,681 
Service cost  -   (2,557)  -   (2,557)
Other income  -   -   -   30,298 
Adjusted Revenue  253,200   45,538   48,680   377,716 

 

Safe Harbor Statement

 

This earnings 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 “anticipate,” “believe,” “estimate,” “expect,” “intend,” “will,” “project,” “seek,” “should” and similar expressions. Such statements include, among other things, management’s beliefs as well as our 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, the outcome of the legal proceedings we have instituted against Ebix and any other legal proceedings that may be initiated against us and others, in connection with the termination of the pending merger agreement between us and Ebix; the effect that the termination of the merger agreement may have on the price of our ordinary shares, and our business, financial condition and results of operations; the impact of the COVID-19 pandemic; our ability to generate positive cash flow and the sufficiency of our operating cash flow to meet our liquidity needs; our future financial performance, including our revenue, cost of revenue, operating expenses and our ability to achieve and maintain profitability; the impact of increasing competition in the Indian travel industry and our expectations regarding the development of our industry and the competitive environment in which we operate; the slowdown in Indian economic growth and other declines or disruptions in the Indian economy in general and travel industry in particular, including disruptions caused by safety concerns, terrorist attacks, regional conflicts, pandemics and natural calamities, our ability to successfully negotiate our contracts with airline suppliers and global distribution system service providers and mitigate any negative impacts on our revenue that result from reduced commissions, incentive payments and fees we receive; the risk that airline suppliers (including our GDS service providers) may reduce or eliminate the commission and other fees they pay to us for the sale of air tickets; our ability to pursue strategic partnerships and the risks associated with our business partners; the potential impact of recent developments in the Indian travel industry on our profitability and financial condition; political and economic stability in and around India and other key travel destinations; our ability to maintain and increase our brand awareness; our ability to realize the anticipated benefits of any past or future acquisitions; our ability to successfully implement our growth strategy; our ability to attract, train and retain executives and other qualified employees, including suitable replacements for any members of our senior management team or other employees who may seek other employment opportunities as a result of the certain cost reduction initiatives that we have taken in response to the COVID-19 pandemic; and our ability to successfully implement any new business initiatives. These and other factors are discussed in our reports filed with the U.S. Securities and Exchange Commission. All information provided in this earnings release is provided as of the date of issuance of this earnings release, and we do not undertake any obligation to update any forward-looking statement, except as required under applicable law.

 

 

 

 

About Yatra Online, Inc.

 

Yatra Online, Inc. is the parent company of Yatra Online Pvt. Ltd. which is based in Gurugram, India and is India's leading corporate travel services provider with over 700 corporate customers and one of India's leading online travel companies and operates the website https://www.yatra.com/. The company provides information, pricing, availability, and booking facility for domestic and international air travel, domestic and international hotel bookings, holiday packages, buses, trains, in city activities, inter-city and point-to-point cabs, homestays and cruises. As a leading platform of accommodation options, Yatra provides real-time bookings for more than 103,000 hotels in India and over 1,500,000 hotels around the world. Through its website, www.yatra.com, mobile application and other associated platforms, leisure and business travelers can explore, research, compare prices and book a wide range of services catering to their travel needs.

 

For more information, please contact:

 

Manish Hemrajani

Yatra Online, Inc.

VP, Head of Investor Relations

+1-646-875-8380

manish.hemrajani@yatra.com

 

 

 

 

Yatra Online, Inc.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME / LOSS FOR THREE MONTHS AND NINE MONTHS ENDED DECEMBER 31, 2020
(Amount in thousands, except per share data and number of shares)
 
  Three months ended December 31,  Nine months ended December 31, 
  2019  2020  2019  2020 
  INR  INR  USD  INR  INR  USD 
Revenue                        
Rendering of services  1,669,497   274,590   3,761   5,168,474   664,436   9,101 
Other revenue  297,308   34,512   473   806,870   99,969   1,369 
Total revenue  1,966,805   309,102   4,234   5,975,344   764,405   10,470 
Other income  24,999   15,809   217   108,206   75,141   1,029 
                         
Service cost  807,523   5,916   81   2,456,414   8,474   116 
Personnel expenses  429,408   180,282   2,469   1,411,848   576,407   7,895 
Marketing and sales promotion expenses  27,566   26,662   365   156,022   47,198   646 
Other operating expenses  521,952   167,392   2,293   2,122,425   724,922   9,929 
Depreciation and amortization  176,265   142,207   1,948   509,034   437,955   5,999 
Results from operations  29,090   (197,548)  (2,705)  (572,193)  (955,410)  (13,086)
                         
Share of loss of joint venture  (3,574)  (1,709)  (23)  (7,952)  (3,206)  (44)
Finance income  10,937   13,517   185   47,333   67,478   924 
Finance costs  (50,820)  (28,547)  (391)  (150,722)  (98,664)  (1,351)
Change in fair value of warrants - gain/(loss)  133,769   (10,326)  (141)  61,083   384,279   5,263 
Profit/ (Loss) before taxes  119,402   (224,613)  (3,075)  (622,451)  (605,523)  (8,294)
Tax credit/(expense)  (6,524)  7,699   105   (31,116)  8,533   117 
Profit/ (Loss) for the period  112,878   (216,914)  (2,970)  (653,567)  (596,990)  (8,177)
                         
Other comprehensive income/ (loss)                        
Items not to be reclassified to profit or loss in subsequent periods (net of taxes)                        
Remeasurement gain on defined benefit plan  11,776   1,495   19   4,406   403   7 
Items that are or may be reclassified subsequently to profit or loss (net of taxes)                        
Foreign currency translation differences (loss)/gain  1,712   4,430   61   1,553   (5,782)  (79)
Other comprehensive income / (loss) for the period, net of tax  13,488   5,925   80   5,959   (5,379)  (72)
Total comprehensive income / loss for the period, net of tax  126,366   (210,989)  (2,890)  (647,608)  (602,369)  (8,249)
                         
Profit/ (loss) attributable to :                        
Owners of the Parent Company  112,638   (214,672)  (2,940)  (647,513)  (587,349)  (8,046)
Non-Controlling interest  240   (2,242)  (30)  (6,054)  (9,641)  (131)
Profit/ (loss) for the period  112,878   (216,914)  (2,970)  (653,567)  (596,990)  (8,177)
                         
Total comprehensive Profit/ (loss) attributable to :                        
Owners of the Parent Company  125,959   (208,767)  (2,861)  (641,616)  (592,732)  (8,118)
Non-Controlling interest  407   (2,222)  (29)  (5,992)  (9,637)  (131)
Total comprehensive Profit/ (loss) for the period  126,366   (210,989)  (2,890)  (647,608)  (602,369)  (8,249)
                         
Profit/ (loss) per share                        
Basic  2.42   (3.52)  (0.05)  (13.93)  (10.39)  (0.14)
Diluted  2.39   (3.52)  (0.05)  (13.93)  (10.42)  (0.14)
                         
Weighted average no. of shares                        
 Basic  46,478,347   60,951,843   60,951,843   46,476,215   56,553,777   56,553,777 
 Diluted  47,225,925   60,951,843   60,951,843   46,476,215   57,296,179   57,296,179 

 

 

 

 

Yatra Online, Inc.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT DECEMBER 31, 2020
(Amounts in thousands, except per share data and number of shares)
    
  March 31, 2020  December 31, 2020  December 31, 2020 
  INR  INR  USD 
Assets            
Non-current assets            
Property, plant and equipment  62,563   30,107   412 
Right-of-use assets  538,422   472,951   6,478 
Intangible assets and goodwill  1,702,693   1,421,642   19,472 
Prepayments and other assets  3,114   1,074   15 
Other financial assets  30,233   22,198   304 
Term deposits  800   942   13 
Other non financial assets  223,618   223,618   3,063 
Deferred tax asset  93,831   103,333   1,414 
Total non-current assets  2,655,274   2,275,865   31,171 
             
Current assets            
Inventories  2,490   2,309   32 
Trade and other receivables  2,368,395   630,566   8,637 
Prepayments and other assets  851,950   622,910   8,532 
Income tax recoverable  486,261   247,537   3,390 
Other financial assets  273,926   125,131   1,714 
Term deposits  754,524   594,711   8,146 
Cash and cash equivalents  1,365,370   1,865,674   25,554 
Total current assets  6,102,916   4,088,838   56,005 
             
Total assets  8,758,190   6,364,703   87,176 
             
Equity and liabilities            
Equity            
Share capital  714   833   11 
Share premium  18,889,154   20,215,763   276,890 
Treasury shares  (11,219)  (11,219)  (154)
Other capital reserve  689,295   141,059   1,932 
Accumulated deficit  (18,053,916)  (18,604,062)  (254,815)
Foreign currency translation reserve  (22,087)  (27,869)  (382)
Total equity attributable to equity holders of the Company  1,491,941   1,714,505   23,482 
Total Non-controlling interest  19,033   12,987   178 
Total equity  1,510,974   1,727,492   23,660 
             
Non-current liabilities            
Borrowings  7,226   4,030   55 
Trade and other payables  27,774   30,692   420 
Deferred tax liability  37,645   34,002   466 
Employee benefits  56,837   50,837   696 
Deferred revenue  232,069   126,715   1,736 
Lease liability  478,361   444,987   6,095 
Other financial liabilities  2   216   4 
Total non-current liabilities  839,914   691,479   9,472 
             
Current liabilities            
Borrowings  979,303   4,019   55 
Trade and other payables  2,859,370   2,632,754   36,060 
Employee benefits  79,396   57,466   787 
Deferred revenue  125,847   265,706   3,639 
Income taxes payable  204   145   2 
Lease liability  60,195   55,448   759 
Other financial liabilities  1,342,337   97,053   1,329 
Other current liabilities  960,650   833,141   11,413 
Total current liabilities  6,407,302   3,945,732   54,044 
Total liabilities  7,247,216   4,637,211   63,516 
Total equity and liabilities  8,758,190   6,364,703   87,176 

 

 

 

 

Yatra Online, Inc.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR NINE MONTHS ENDED DECEMBER 31, 2020
(Amount in INR thousands, except per share data and number of shares)
                            
  Attributable to shareholders of the Parent Company       
  Equity share capital  Equity share premium  Treasury shares  Accumulated deficit  Other capital reserve  Foreign currency translation reserve  Total  Non controlling interest  Total Equity 
Balance as at April 1, 2020  714   18,889,154   (11,219)  (18,053,916)  689,295   (22,087)  1,491,941   19,033   1,510,974 
                                     
                                     
Loss for the period  -    -    -    (587,349)  -    -    (587,349)  (9,641)  (596,990)
                                     
Other comprehensive loss                                    
Foreign currency translation differences  -    -    -    -   -    (5,782)  (5,782)  -   (5,782)
Re-measurement gain on defined benefit plan  -    -    -    399   -    -   399   4   403 
Total other comprehensive loss  -   -   -   399   -   (5,782)  (5,383)  4   (5,379)
                                     
Total comprehensive loss  -   -   -   (586,950)  -   (5,782)  (592,732)  (9,637)  (602,369)
                                     
Share based payments  -   -   -   40,395   6,285   -   46,680   -   46,680 
Exercise of options  10   554,511   -   -   (554,521)  -   -   -   - 
Issuance of shares  109   796,077   -   -   -   -   796,186   -   796,186 
 Cost of issuance of shares  -   (23,979)  -   -   -   -   (23,979)  -   (23,979)
Change in non-controlling interest  -   -   -   (3,591)  -   -   (3,591)  3,591   - 
                                     
Total contribution by owners  119   1,326,609   -   36,804   (548,236)  -   815,296   3,591   818,887 
                                     
Balance as at December 31, 2020  833   20,215,763   (11,219)  (18,604,062)  141,059   (27,869)  1,714,505   12,987   1,727,492 

 

 

 

 

Yatra Online, Inc. Consolidated
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS FOR NINE MONTHS ENDED DECEMBER 31, 2020
(Amount in thousands, except per share data and number of shares)
    
  2019  2020  2020 
  INR  INR  USD 
Loss before tax  (622,451)  (605,523)  (8,294)
Adjustments for non-cash and non-operating items  585,197   221,432   3,033 
Change in working capital**  (1,096,121)  1,225,969   16,792 
Direct taxes paid (net of refunds)  (13,746)  235,530   3,226 
Net cash flows from/(used in) operating activities  (1,147,121)  1,077,408   14,757 
Net cash flows from/(used in) investing activities  (5,594)  (270,166)  (3,700)
Net cash flows from/(used in) financing activities  (519,796)  427,421   5,854 
Net increase/(decrease) in cash and cash equivalents  (1,672,511)  1,234,663   16,911 
Cash and cash equivalents at the beginning of the period***  1,363,671   646,229   8,851 
Effect of exchange differences on cash and cash equivalents  33,730   (15,218)  (208)
Cash and cash equivalents at the end of the period*  (275,110)  1,865,674   25,554 

 

 

* Includes overdraft of INR Nil (INR  1,235,290 as on December 31, 2019). 

**Includes INR 389,617 paid on account of ATB settlement (INR Nil as on December 31, 2019) 

***Includes overdraft of INR 719,141 (INR 797,343 as of March 31, 2019) 

 

Yatra Online, Inc.

OPERATING DATA

The following table sets forth certain selected unaudited condensed consolidated financial and other data for the periods indicated:

 

  For the three months ended December 31,  For the nine months ended December 31, 
(In thousands except percentages) 2019  2020  2019  2020 
Quantitative details *                
Air Passengers Booked  2,047   910   6,348   1,527 
Stand-alone Hotel Room Nights Booked  300   199   962   253 
Packages Passengers Travelled  28   1   91   2 
Gross Bookings                
Air Ticketing  19,042,527   5,140,396   62,187,408   6,508,746 
Hotels and Packages  2,059,406   617,744   6,465,519   732,078 
Total  21,101,933   5,758,140   68,652,927   7,240,824 
Adjusted Revenue                
Air Ticketing  1,021,726   428,537   3,198,324   851,920 
Hotels and Packages  214,164   109,641   615,281   167,084 
Others (Including Other Income)  350,672   68,436   1,001,340   201,555 
Total  1,586,562   606,614   4,814,945   1,220,558 
Net Revenue Margin%**                
Air Ticketing  5.4%  8.3%  5.1%  13.1%
Hotels and Packages  10.4%  17.7%  9.5%  22.8%

 

 

* Quantitative details are considered on Gross basis

** Net Revenue Margin is defined as Adjusted Revenue as a percentage of Gross Booking.