MAKEMYTRIP LIMITED (NASDAQ: MMYT) - INVESTOR PRESENTATION FEBRUARY 2021
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MakeMyTrip Limited (NASDAQ: MMYT) Investor Presentation February 2021
Safe Harbour
This presentation contains certain statements concerning MakeMyTrip’s (MMYT) 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 MMYT’s current
expectations, assumptions, estimates and projections about MMYT 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, quotations from
management as well as MMYT’s 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, a slow-down of economic growth in India and the global economic downturn, general declines or disruptions in the travel industry, volatility in
the trading price of MMYT’s shares, MMYT’s reliance on its relationships with travel suppliers and strategic alliances, failure to further increase MMYT’s brand
recognition to obtain new business partners and consumers, failure to compete against new and existing competitors, failure to successfully manage current
growth and potential future growth, risks associated with any strategic investments or acquisitions, seasonality in the travel industry in India and
overseas, failure to successfully develop MMYT’s corporate travel business, damage to or failure of MMYT's infrastructure and technology, loss of services of
MMYT's key executives, and inflation in India and in other countries. In addition to the foregoing factors, a description of certain other risks and uncertainties
which may cause actual results to differ materially can be found in the “Risk Factors” section of MMYT's 20-F dated August 17, 2020 filed with the U.S.
Securities Exchange Commission (“SEC”), copies of which are available from the SEC, our website or our Investor Relations department. COVID-19, and the
volatile regional and global economic conditions stemming from it, and additional or unforeseen effects from the COVID-19 pandemic, could also continue to
give rise to or aggravate these risk factors, which in turn could continue to materially adversely affect our business, financial condition, liquidity, results of
operations (including revenues and profitability) and/or stock price. Further, COVID-19 may also affect our operating and financial results in a manner that is
not presently known to us or that we currently do not consider to present significant risks to our operations. All information provided in this presentation is
provided as of the date of issuance of this presentation, and MMYT does not undertake any obligation to update any forward-looking statement, except as
required under applicable law.
We cannot assure you that the assumptions made in preparing any of the forward-looking statements will prove accurate or that any projections will be
realized. We expect that there will be differences between projected and actual results. The forward-looking statements made in this presentation relate only
to events or information as of the date on which the statements are made in this presentation. Our actual results, performance, or achievement may differ
materially from those expressed in, or implied by, these forward-looking statements. Accordingly, we can give no assurances that any of the events
anticipated by these forward-looking statements will transpire or occur or, if any of the foregoing factors or other risks and uncertainties described elsewhere
in this presentation were to occur, what impact they would have on these forward-looking statements, including our results of operations or financial
condition. In view of these uncertainties, you are cautioned not to place undue reliance on these forward-looking statements. All forward-looking statements
attributable to us are expressly qualified in their entirety by the cautionary statements contained herein and in our future annual and quarterly reports as filed
with the SEC.
2
Key Investment Highlights
1 Large Travel Market in Large & Growing Economy
2 Strong Market Leadership with Multiple Well Recognized Online Travel Brands
3 Travel Super App – One Stop Shop for All Types of Travel and Related Ancillary Services
Robust, Scalable and Secured Technology Platforms Servicing Customers on Multiple Device
4 Interfaces
Demonstrated Operating Leverage with Scale in Multiple Travel Segments
5 Higher Repeat Rates Driving Lower Customer Acquisition Costs
Rationalized Fixed Cost Structure During COVID19 Disruption
3
Multiple Tailwinds to Drive India’s Low e-commerce Penetration Higher
Large Economy with Reaccelerating Growth Forecasted1 Largest Young Population3 to Drive Digital Adoption
2019 2020 2021 44% 49% 7%
4.2% -10.3% 8.8%
29% 59% 12%
6.1% 1.9% 8.2%
2.2% -4.3% 3.1% 31% 52% 17%
India to Become $5 Trillion Economy by 20242 Age 0–24 Age 25–64 Age 65+
2nd Largest Base
~142 Million Additional Middle-Income Households by 20304 of Internet Users with Low Penetration5
Internet Users
54% 78% (In Millions) 838 686
86%
~300
59% 1.1
50% Billion
~158 Internet Users by
20304
2018 2030 US China India
Share of Middle-Income Households
Source: 1IMF World Economic Outlook, 2Government estimates 3CIA World Fact book 2020 estimates,
4World Economic Forum (January, 2019), 5World Economic Forum (August, 2020)
4
Long Term Growth Potential
Flight Ticketing Hotel Booking Inter-City Bus Ticketing
Leading Domestic & International Market Large Domestic & Outbound Opportunity High Fragmentation of Bus Operators –
Share in Fast Growing Air Travel Market Available Seeking Digitization & Online Distribution
Traffic Recovery Back on Track Post Opening Low Online Domestic Hotel Penetration 3,500+ Active Bus Operators Signed on
of Airports on May 25, 2020 Platform with 1.5+ Million Seats Bookable
Fragmented Hotels & Alternative
Domestic Air Passengers Flown Accommodations Supply
19 Road Transport Corporations (State
(in millions)1
Government Operators) within India
12.8 12.4 Pan India & International Destinations Supply Connected on redBus Platform
7.8 6.0 7.1
2.0 2.0 2.6 3.6 4.9 Available for All Hotels Segments &
- 0.3 Alternative Accommodations Unique Bus Operator GDS Platform to
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Digitize Inventory & redBus App for Online
Domestic Airline Allowed to Operate up to Proprietary Supplier Enablement Technology Distribution
80% Capacity (Jan 2021)1 for Distribution
India’s Playbook Expanded into International
Establishment of Air Travel Bubbles to 2 Strong Brands to Drive Volumes Bus Markets
Aid in Recovery of International Flights
Government Plans to Add At least 100
Airports / Waterdromes / Heliports by 2024
under UDAN scheme2
Source: 1DGCA, 2Ministry of Civil Aviation; UDAN scheme (Ude Desh ka Aam Nagrik) is a regional airport
development and connectivity scheme aimed at making air travel affordable and widespread by Government of India
5
Market Leader with Superior Domestic Brand Awareness
Top Of Mind Awareness
51
14
9
4
1
MakeMyTrip gobibo Yatra Cleatrip Others
Consideration Top Box Score
50
17
6
3 2
MakeMyTrip gobibo Yatra Cleatrip Others
Source: December 2020 KANTAR Brand Health Report commissioned by Company`
6
Robust & Innovative Technology Platform to Drive Super App Vision
Travel Super App Trip Ideas Enhanced Big Data & AI Driven
Discoverability Cross Sell Experience
Universal Search Trip Planning Linked to Contextualized Prompts Common Backend Platform
Booking to Drive Faster Innovations &
Faster Product Area Guides to Build Trust Greater Efficiencies
Discovery Powered by Rich Content,
Including UGC Granular Travel Themes Relevant Persuasions
Better User Engagement
Personalized
Recommendations
7
Wide Range of Hotel Options
Premium (5 stars) Mid Tier (3 & 4 stars) Budget
• Positioning MakeMyTrip as Premium Brand • Expanding Selection & Choice • Budget Certification Program
• Leveraging Loyalty Programs to Drive • Further Driving Online Bookings • Good Ratings & Standard Amenities
Retention
• Enhanced Customer Experience (Pre • Consistency Across Fragmented Supply
• Targeting High Spending & Repeat Booking, Post Sales & On Trip)
Customers
• goStays Certified Properties Available
• Offering Accredited Hotels to Deliver
• Delivering Superior End-to-End User Consistent Stay Experience
Experience
Offering Curated International Hotels Catering to Indian Travelers’ Needs
8
Alternative Accommodations – Long Term & Nascent Growth Opportunity
• Alternative to Traditional Hotel
Experience – Social Distancing
Friendly
• Supported by Customer Service
Pledge & Guarantee
• Broadens Customer Reach
• Marketing via Traditional & Social
Media Channels
• Partnering with State Tourism
Boards to Promote Local &
Community Based Travel
• Increasing Supply With
+22k Properties in India
9
redBus – Leading Intercity Bus Ticketing Brand with Full Stack Technology Solutions Across Entire
Value Chain & Deep Operational Expertise
• Leading Bus Ticketing Brand with Superior Customer Experience
• Comprehensive Selection & Choice of Intercity Bus Operators
(Public & Private)
• Live Bus Tracking & Fleet Management Platform
• Supplier Platform for Bus Operators to Quickly Digitize Inventory &
Distribution Management – Hosting 45% of Inventory in India’s
Private Bus Market
• Travel Agent & API Distribution Platform (25K+ agents across
India)
• Model Highly Scalable Beyond India Operating in LATAM &
Southeast Asia
Customers Operators Bus Tickets
23 MM 3,500 193+ MM
redBus is trusted by network of over 3,500 bus tickets sold since
over 23 million happy bus operators FY18
customers globally worldwide
10Holidays & Activities Integration Further Driving Connected Trip Experience
Curated Holiday Packages with Deep Integration of Add On & Cross Sell Services Wide Availability of Activities
(Cabs & Activities) & Experiences Offered
11Ground Transportation – Cabs, Trains & Metro Ticketing Extending Customer Reach
Outstation Cabs Airport Cabs
• Convenience of online booking • Convenience of attaching cab while
• Option to pay via multiple payment options booking a flight
• Ability to compare prices & cab categories • Easy and quick hop on experience -
• Expert & verified drivers customers board cabs from partner
• Catering to post lock down demand - Short kiosks
drive holidays & Staycations • Fare lock - no surge pricing
• Assuring safety & sanitization using machine • Safety & sanitization assurance provided
learning algorithm
Train Ticketing Metro Ticketing
• Capturing next 100 million users • QR Code based e-tickets
• One of the most frequently used travel • Cashless, Contactless &
method in India - help extend reach Convenient
• Targeting users from Tier 2 & Tier 3 • Connected trip experience for
cities and introducing them to online users of super app
travel at an early stage of internet
adoption
• Build life time value of onboarded
users - cross selling other travel
products
• High frequency use case helps in user
retention
12Increasing Focus on Gaining Greater Corporate Travel Wallet Share
India’s First Comprehensive Self Serve Solution 100% Online Enterprise Platform
• Simplified User &
Booking Experience
• Personalized Content
and Features for
Travel Policy Approvals Bookings
Corporates
• Automated Invoice
2 Product Management Solution Spend
Documentation Management Reports
Approach
• Robust Reporting & MIS
• Customized Modules to Meet Enterprise
• Cost Savings Features Customers’ Needs
• Leveraging MMYT’s • All Use Cases Automated
Supply Advantage
• Leveraging MMYT’s Hotel Supply Advantage
Largely Unconsolidated and Offline Corporate Travel Market Focus on SMEs & Mid-Sized Corporates Addresses Half
of Total Market Opportunity
13Brand Expansion into Gulf Cooperation Council (GCC) Region
International Platform with Localized Offerings
• Growth Market with High Digital Reach • Global Supply Inventory Provides Competitive Advantage
• High GDP per Capita • Targeted Products Catering to Local Travel Preferences
• Primarily Offline Travel Booking Market • Providing a Localized Booking Experience
(UAE Sites Supply, Traffic, Payments, Arabic Language)
• Absence of Large Full Service OTAs
14Multiple Tech Enabled Distribution Channels to Aggregate Demand
B2C B2B2C
myPartner – Offline & Local Franchise Network for
Travel Agents Booking Platform Offline Sales
Mobile Apps & Mobile Websites
Holiday Experts
Assisted Holiday Package Sales
Desktop Websites
15Industry Recovery Initiatives – Contactless & Safety Focused
• Partnerships with Suppliers to Implement Safety and Cleanliness Protocols to • 5,400 Properties with Self Certifying Cleanliness & Hygiene Protocol
Ensure Safe Travel Implementations
• Current & Detailed Information on Various Modes of Transport, Hotels & • 2,000 Hotels Registered for Independent Safety & Cleanliness Audit Program
Activities
• Contactless Check at 500 Hotels
• Comprehensive Travel Restriction Guidelines by State & by Country
• Native App based Flight Check Ins & Seat Selections
• Highly Flexible Booking Policies
Free Cancellations, Zero Payments Now • QR Code Boarding Passes for Bus Ticketing
16Relaunch of Improved Loyalty Programs
MMTBLACK goTribe
• Relaunched September 2020 • Spend based program
• More benefits for members – extra discounts, cashbacks, free • 2 tiered program with upgrade options
upgrades
• Exclusive discounts & perks (early check ins, free drinks &
• Targeting & rewarding high spending users for loyalty & repeat transfers, etc.)
• Multi tiered program – benefits linked with spends • Program cost reductions by collaborating with supply partners
• 920+ thousand enrollees • 580+ thousand enrollees
17The MakeMyTrip Foundation - Corporate Social Responsibility
Responsible Tourism Ecological Balance COVID19 Response
• Supported establishment of Private Hospitals
• Boost cleanliness and sanitation in • Be part of solution to fight drastic climate
& Contributions to Prime Minister’s Cares
popular tourism spots – Zero Waste change & global warming
Fund
Destinations in Sahastradhara &
Dehradun • Dense afforestation using the
• Partnership with Indian Government to
Miyawaki Technique of Plantation
develop & scale COVID19 contact tracing
• Partnership with World Wide Fund India to with 1.2 million trees planted in Ladakh
app with 162+ million downloads
establish homestays & eco cafes to
provide economic opportunities • Partnership with Andaman Islands
• Supported daily wage earners & migrant
Government to make island single use
labors via 150k cooked meals, 300 dry ration
• Campaign for responsible tourism with plastic free
kits & 6k masks
stakeholders
• Single Use Plastics Free office
• Funded COVID19 test kits and lab testing
The MakeMyTrip Group takes millions of Indians to different places every year, we believe it’s our responsibility to promote a
sustainable and responsible way of travel to Indians
18Experienced Founding & Management Team Driving Execution
Deep Kalra Rajesh Magow Mohit Kabra
Founder & Group Executive Chairman Co-Founder & Group CEO Group Chief Financial Officer
• Started MakeMyTrip in 2000 • Senior founding team member • 26+ Years of Experience
• Group Chairman • Member of the Board of Directors • Prior Experience: Kohler India, PepsiCo,
Colgate & Seagram
• 28+ Years of Experience • Previously Group CFO and Chief
Operating Officer • Bachelor of Commerce – Osmania
• Prior Experience: GE Capital India, AMF
University
Bowing Inc. & ABN AMRO Bank • 27+ Years of Experience
• Chartered Accountant from Institute of
• Board member & past President of The • Prior Experience: eBookers.com, Aptech
Chartered Accountants of India
IndUS Entrepreneurs (TIE) New Delhi Limited & Voltas Limited
chapter • Cost Accountant from Institute of Cost
• On FlipKart Board
Accountants of India
• Founding member of Ashoka University &
• Chartered Accountant from Institute of
serves on the Board & Governing Council
Chartered Accountants of India
• Bachelor’s degree in Economics – St.
Stephen’s College
• MBA IIM Ahmedabad, India
19Financial Overview
20Leading Indian OTA with Unrivaled Business Scale & Strength Entering COVID19 Pandemic (FY2020)
Hotels & Packages Bus Ticketing
Air Ticketing
$886 million
$3.6 billion $1.6 billion Gross Bookings
Gross Bookings
Gross Bookings
42.1 million 78.6 million
29.6 million
Flight Segments Bus Tickets Sold
Room Nights Stayed
Source: Company data for the 12 months ending March 31, 2020
21Adjusted Margin Growth & Improving Business Mix Since ibibo Group Merger
$ in Millions
Air Ticketing Hotels & Packages
$249.7 $360.1
$351.6
$234.2
$313.7
$202.1
FY18 FY19 FY20 FY18 FY19 FY20
Adjusted Adjusted
7.5% 7.3% 7.0% 22.6% 23.2% 22.1%
Margin % Margin %
Segment Segment
35.0% 34.8% 34.5% Mix % of Group 54.4% 52.2% 49.8%
Mix % of Group
Bus Ticketing Others
$75.6
$37.9
$28.8
$58.8
$17.0
$44.4
38%
FY18 FY19 FY20 FY18 FY19 FY20
Adjusted
Margin % 8.9% 8.2% 8.5%
Segment Segment
7.7% 8.7% 10.5% 2.9% 4.3% 5.2%
Mix % of Group Mix % of Group
Note:
1) FY20 growth moderated as Company focus shifted to better unit economics
2) FY20 Results further impacted by COVID19 related disruptions in second half of Fiscal Q4
22Cost Structure Optimizations Since Merger
Focused on Marketing, Sales Promotion & Customer Inducement Spend Efficiencies
Operating Costs as % of Gross Bookings
(%)
20%
15.9%
14.2%
15% 1.7%
12.9% Right size unit economics
6.6%
10% 5.9%
9.8%
5% 3.6% 2.8%
1.5% 1.1% 1.4% 1.0% 1.5% 1.0%
0%
1.5% 0.3% 1.4% 0.2% 1.4% 0.3% Reduce customer inducement and sales
FY18 FY19 FY20 promotion costs
Customer Inducement Costs1 Marketing Costs2 SGA4
Payment Gateway Employee Costs3 D&A5
Adjusted Operating Losses
(in $ millions) Focus on brand loyalty and repeat rates
FY18 FY19 FY20
$0
($50)
($100)
($69.9) Consolidate back-end infrastructure &
($98.8) overheads
($150)
($154.8)
($200)
Note:
1) Customer Inducement Costs include adjustments for promotions netted against revenue
2) Marketing costs include Marketing and sales promotion & certain loyalty program costs
3) Personnel Expenses excluded share based compensation charges and severance cost related to a prior acquisition
4) SGA excluded Merger and acquisitions related expenses and provision for litigations
5) Depreciation and amortization excluded acquisition related intangibles amortization and impairment of intangible asset 23Business Recovery Improving with Every Quarter Post Lockdown
Adjusted Operating Profitability Achieved in Q3 FY21
$ in Millions
Adjusted Margin
Air Ticketing Hotels & Packages Bus Ticketing Others
$26.0 $25.2
$9.0
$11.9 $4.1
$3.1
$5.5 $2.5
$4.1 $1.1
$1.2 $0.3
Q1 FY21 Q2 FY21 Q3 FY21 Q1 FY21 Q2 FY21 Q3 FY21 Q1 FY21 Q2 FY21 Q3 FY21 Q1 FY21 Q2 FY21 Q3 FY21
7.4% 8.0% 7.5% 21.3% 16.9% 17.9% 8.6% 8.1% 8.2%
6.3% 18.1% 36.7% 1.2% 6.4% 23.7% 1.6% 15.0% 43.4% 10.7% 27.4% 47.9%
Adjusted Margin % Adjusted Margin as % of Prior Year Quarter
Adjusted Operating Profit/(Loss)
Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY20 Q1 FY21 Q2 FY21 Q3 FY21
$5.2
($11.0) ($10.3)
($12.9)
($19.3) ($21.3)
($29.2)
Covid19 Nationwide Lockdown Impact
24Accelerated Cost Optimization
Well Placed Operationally & Financially to Recover Better
9M FY21
(in $ millions) Q1 FY21 Q2 FY21 Q3 FY21 9M FY21 YoY Change
Gross Booking $64.50 $213.00 598.8 876.2 (82.1%)
Adjusted Margin
Air Ticketing 4.1 11.9 26.0 42.0 (79.2%)
Hotels & Packages 1.2 5.5 25.2 31.9 (89.2%)
Bus Ticketing 0.3 2.5 9.0 11.9 (79.8%)
Others 1.1 3.1 4.1 8.4 (72.7%)
Operating Costs
Customer Inducement Costs1 0.7 2.7 14.8 18.2 (94.0%)
Marketing & Sales Promotion & Loyalty Program Costs 1.0 2.3 7.8 11.1 (92.0%)
Payment Gateway 0.4 1.6 5.0 7.0 (85.4%)
Personnel (excluding SBC)2 15.2 15.7 17.6 17.6 (27.8%)
SGA3 7.2 8.7 10.0 10.0 (63.2%)
Depreciation & Amortization4 5.0 5.3 4.4 4.4 4.3%
Total Cost as % of Gross Booking 46% 17% 10% 14%
Variable & Semi Variable Costs Fixed & Semi Fixed Costs
Operating Cost Optimizations Implemented in Late March
Liquidity Profile Improved – Long Operating Runway
due to COVID19 Disruption
1• Significant efficiencies in Marketing & Promotional spends with view to drive efficiencies
vs pre-pandemic levels as business recovery continues
2• Cost rationalization through downsizing of call centers, right sizing of manpower,
compensation cuts (largely restored in Q3), reduction in office space & infrastructure costs
3• Technology investments in automating customer support for more efficient call center
staffing with business recovery
$227.6 million ~$100.0 million
Cash & Term Deposits Credit & Guarantee
(as of 12/31/2020) Facilities Available
(as of 12/31/2020)
4• Integration of tech stack across OTA brands to drive synergies
Note:
1) Customer Inducement Costs include adjustments for promotions netted against adjusted revenue
2) Personnel Expenses excluded share based compensation charges and severance cost related to a prior acquisition
3) Depreciation and amortization excluded acquisition related intangibles amortization and impairment of intangible assets
4) SGA excluded Merger and acquisitions related expenses and provision for litigations
25Appendix
26Non-IFRS Metrics & Note on Unaudited Financials
The following non-IFRS metrics will be used in this presentation:
Gross Bookings represents total amount paid by our customers for travel services and products booked through us, including taxes, fees,
and other charges, and are net of cancellations, discounts and refunds, but does not include other revenues that are generated from 3rd party
advertisement on our website, commissions and fees earned from the sale of rail tickets and fees earned by facilitating travel insurance
policies to customers.
Adjusted Margin is our segment profitability measure and represents IFRS revenue after adding back customer inducement costs in the
nature of customer incentives, customer acquisition costs and loyalty program costs, which are reported as a reduction of revenue, and
deducting the cost of acquisition of services primarily relating to sales to customers where the company acts as the principal. This metric was
previously titled “Adjusted Revenue” in our past public filings in fiscal years 2019 and 2020. For more information, see “About Key
Performance Indicators and Non-IFRS Measures” elsewhere in our SEC Form 20F, filed on August 17, 2020.
Adjusted Margin % is defined as Adjusted Margin as a percentage of Gross Bookings, and represents commissions, fees, incentive
payments and other amounts earned in our business. We follow adjusted margin trends closely across our various lines of business to gain
insight into the profitability of our various businesses.
Flight Segment is defined as a flight between two cities, whether or not such flight is part of a larger or longer itinerary.
Room Nights, also referred to as a “hotel-room nights,” is the total number of hotel rooms occupied by a customer or group,
multiplied by the number of nights that such customer or group occupies those rooms.
Constant Currency refers to our financial results assuming constant foreign exchange rates for the current fiscal period based on the
reporting for the historical average rate used in the prior year’s comparable fiscal period.
Fiscal Year End – March 31st
27Reconciliation of IFRS to Non IFRS Measures
Reconciliation of Revenue per IFRS to Adjusted Margin
Air Ticketing Hotels and Packages Bus ticketing Others
Fiscal Year Ended Fiscal Year Ended Fiscal Year Ended Fiscal Year Ended
March 31, March 31, March 31, March 31,
2018 2019 2020 2018 2019 2020 2018 2019 2020 2018 2019 2020
(in $ thousands)
Revenue as per IFRS $ 167,391 $ 166,714 $ 174,361 $ 439,963 $ 237,524 $ 235,814 $ 50,932 $ 53,745 $ 65,009 $ 16,970 $ 28,028 $ 36,345
Add: Customer inducement
costs recorded as reduction
of revenue
34,673 68,632 75,779 43,068 274,915 265,706 — 13,950 17,688 — 861 1,985
Less: Service Cost as per
IFRS
— 1,193 420 169,347 160,824 141,404 6,530 8,870 7,060 — 58 383
Adjusted Margin $ 202,064 $ 234,153 $ 249,720 $ 313,684 $ 351,615 $ 360,116 $ 44,402 $ 58,825 $ 75,637 $ 16,970 $ 28,831 $ 37,947
Reconciliation of Adjusted Operating Profit/(Loss) Fiscal Year Ended
March 31,
2018 2019 2020
(in millions)
Results from operating activities as per IFRS
$ (219.4) $ (152.9) $ (429.4)
Add: Employee share-based compensation costs 44.9 40.0 41.6
Add: Impairment of goodwill 2.9 — 272.2
Add: Gain on disposal of an equity-accounted investee — — (0.7)
Add: Acquisition related intangibles amortization 14.7 14.1 14.7
Add: Severance cost related to a prior acquisition 2.2 — —
Add: Merger and acquisitions related expenses — — 0.9
Add: Provision for litigations — — 30.8
Adjusted Operating Profit/(Loss)
$ (154.8) $ (98.8) $ (69.9)
Source: Company SEC 20F Filing for FY2020
28Reconciliation of IFRS to Non IFRS Measures
( in $ thousands) For the three months ended
June 30
Air ticketing Hotels and packages Bus ticketing Others
2019 2020 2019 2020 2019 2020 2019 2020
Revenue as per IFRS 44,613 3,756 68,524 1,121 18,321 338 10,279 1,146
Add: Customer inducement costs 20,581 309 78,974 332 5,259 12 513 1
recorded as reduction of revenue
Less: Service cost as per IFRS 161 - 46,123 237 2,229 18 52 1
Adjusted Margin 65,033 4,065 101,375 1,216 21,351 332 10,740 1,146
For the three months ended
September 30
Air ticketing Hotels and packages Bus ticketing Others
2019 2020 2019 2020 2019 2020 2019 2020
Revenue as per IFRS 45,992 10,873 46,763 4,388 14,257 2,652 10,945 3,139
Add: Customer inducement costs 20,087 1,051 68,241 1,549 3,795 146 529 -
recorded as reduction of revenue
Less: Service cost as per IFRS 127 6 27,934 397 1,405 296 65 9
Adjusted Margin 65,952 11,918 87,070 5,540 16,647 2,502 11,409 3,130
For the three months ended
December 31
Air ticketing Hotels and packages Bus ticketing Others
2019 2020 2019 2020 2019 2020 2019 2020
Revenue as per IFRS 47,911 18,168 72,989 24,405 17,737 10,096 8,252 4,137
Add: Customer inducement costs 23,056 7,837 76,578 6,916 4,819 77 528 4
recorded as reduction of revenue
Less: Service cost as per IFRS 27 - 43,273 6,167 1,739 1,145 169 19
Adjusted Margin 70,940 26,005 106,294 25,154 20,817 9,028 8,611 4,122
For the nine months ended
December 31
Air ticketing Hotels and packages Bus ticketing Others
2019 2020 2019 2020 2019 2020 2019 2020
Revenue as per IFRS 138,516 32,797 188,276 29,914 50,315 13,086 29,476 8,422
Add: Customer inducement costs 63,724 9,197 223,793 8,797 13,873 235 1,570 5
recorded as reduction of revenue
Less: Service cost as per IFRS 315 6 117,330 6,801 5,373 1,459 286 29
Adjusted Margin 201,925 41,988 294,739 31,910 58,815 11,862 30,760 8,398
Source: Company Quarterly SEC 6K Filings
29Reconciliation of IFRS to Non IFRS Measures
( in $ thousands)
Reconciliation of Adjusted Operating Profit (Loss)
For the three months ended March 31
2019 2020
Results from operating activities as per IFRS (30,981) (330,258)
Add: Provision for contingencies - 30,800
Add: Employee share-based compensation costs 8,997 13,370
Add: Impairment of goodwill - 272,160
Add: Acquisition related intangibles amortization 3,557 3,613
Adjusted Operating Profit (Loss) (18,427) (10,315)
For the three months ended
Reconciliation of Adjusted Operating Profit (Loss)
June 30
2019 2020
Results from operating activities as per IFRS (42,898) (34,587)
Add: Employee share-based compensation costs 9,102 9,787
Add: Acquisition related intangibles amortization 3,727 3,472
Add: Merger and acquisitions related expenses 890 -
Adjusted Operating Profit (Loss) (29,179) (21,328)
Reconciliation of Adjusted Operating Profit (Loss) For the three months ended
September 30
2019 2020
Results from operating activities as per IFRS (31,880) (26,070)
Add: Employee share-based compensation costs 8,808 9,616
Add: Acquisition related intangibles amortization 3,689 3,529
Add: Merger and acquisitions related expenses 46 -
Adjusted Operating Profit (Loss) (19,337) (12,925)
Reconciliation of Adjusted Operating Profit (Loss) For the three months ended
December 31
2019 2020
Results from operating activities as per IFRS (24,374) (7,343)
Add: Acquisition related intangibles amortization 3,695 3,541
Add: Employee share-based compensation costs 10,351 8,954
Less: Gain on disposal of an equity-accounted investee (700) -
Adjusted Operating Profit (Loss) (11,028) 5,152
Source: Company Quarterly SEC 6K Filings
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