Noida, May 16th, 2022, Monday: RateGain Travel Technologies Limited (NSE: RATEGAIN), a global provider of SaaS solutions for the hospitality and travel industry, today announced its financial results for Q4 FY22 and Annual Results for the Year ending March 31st, 2022.
Driven by the reopening of international travel in major travel markets and a surge in travel demand across the world, RateGain registered broad-based growth across all its businesses due to increasing demand for technology-enabled solutions in its key markets, building upon its strong performance previous quarter.
On an annual basis, the company registered a 46% YoY growth in revenue at INR 3665.9 Million in FY22 vis-à-vis INR 2507.9 million in FY21. The company also reported PAT adjusted for amortization on acquisition at INR 317.9 Million and EBITDA adjusted for ESOP and FX costs at INR 376.8 Million for FY22.
For the Quarter ending March 31st, 2022, the company registered a 50.6% YoY growth in revenue at INR 1078.8 Million and strong growth in adjusted PAT at INR 177.8 million, and adjusted EBITDA at INR 126.2 Million.
The growth was driven on the back of new contract wins growing by 141% YoY to INR 1044 Million, and Annual Recurring Revenue going higher than Pre-COVID levels at INR 4315 Million. The company continues to strengthen its enterprise relationships by expanding its wallet share and improving the key SaaS metric of LTV to CAC TO 12.9. Recurring revenues for the year continue to stay strong at 98% with Net Revenue Retention at 114%.
“Our focus last year was to drive growth back to the pre-pandemic levels and at a run rate basis, we have exceeded the same. New Product Innovation, Partnerships, and Strengthening our Technology layer all contributed significantly to this growth. Our goal for FY23 is to build on this momentum and execute to expand our market share. We continue to stay optimistic about our growth and committed to delivering on the promise we have made to our shareholders.”, said, Bhanu Chopra, Founder, RateGain Travel Technologies.
Commenting on the key metrics and performance, Tanmaya Das, Chief Financial Officer, RateGain Travel Technologies, said, “The results for Financial Year 2022 are a matter of pride for the entire organization. Our efforts to recover and re-energize the organization are seen across almost all KPIs and are a testament to our culture, our business model, and the commitment of our leadership team. RateGain’s performance showcases how new-age tech companies can drive growth as well as profitability in a tough macro environment. We continue to stay optimistic about the future as the industry goes resilient to ongoing macroeconomic uncertainty. ”
The Distribution business unit continued to grow with recurring revenues of 97.2%. In FY22, 50+ new pairings between existing supply partners and demand partners helped in driving growth, which included connecting the Top Five Hotel Chains of the world to regional leading OTAs such as Rakuten as well as new emerging OTAs such as Hopper.
The Martech business unit with recurring revenue of 98.6% continues to see considerable demand for its metasearch offering as more hotels try to optimize costs, improve ROI and generate direct revenue through metasearch platforms to reduce the cost of customer acquisition. The immediate focus of the company is to increase penetration of Martech in its existing client base and building the end-to-end digital marketing platform allowing hotels to acquire customers, deliver brand engagement to deliver ROI improve retention and drive wallet share expansion.
The DaaS business unit registered strong growth in its airline and OTA products on the back of acquiring marquee customers as well as expanding volumes with existing customers. We continued to engage leaders across product segments such as Caesars Entertainment in the United States, One of the largest hotel chains in Latin America, One of the Top 10 Airlines in the United States, and others who selected RateGain’s products for real-time and accurate insights. The recurring revenue for the business continued to remain strong at 97.1%.
RateGain’s new AI-powered products revAI, Content AI, and Demand AI launched as part of RGLabs have bagged leaders in their respective segments. Content AI and Demand AI have been selected by one of the largest operators of hotels in Germany and one of the largest hotel chains in Spain respectively. revAI continues to onboard car rental operators to solve the problem of automation and revenue maximization.
The effort of every employee in delivering this successful year was recognized by the industry accolades RateGain received in the year. A total of 15 awards and recognitions were won across all product lines and functions including the top Honors at Hotel Tech Awards, Premier Connectivity and Partner Status with Expedia and Booking.com, Technology Innovation and Customer Excellence at HSMAI Adrian awards as well as Great Place to Work certification amongst many other.
The company’s diversity ratio continued to move forward reaching the 31% mark. The company now has 606 Full-time employees across all of its business units with the revenue per employee at INR 6.91 Million, which increased 17% YoY.
RateGain Travel Technologies Limited is a global provider of SaaS solutions for travel and hospitality that works with over 2200+ customers in over 100+ countries helping them accelerate revenue generation through acquisition, retention and wallet share expansion. Founded in 2004 and headquartered in India, today RateGain works with Top 23 of 30 Hotel Chains, Top 25 of 30 Online Travel Agents and all the top car rentals including 8 Global Fortune500 companies. RateGain is one of the world’s largest processors of electronic transactions and price points for the travel and hospitality industry and is the largest Software as a Service (“SaaS”) company in the hospitality and travel industry in India. It offers travel and hospitality solutions across a wide spectrum of verticals including hotels, airlines, online travel agents (“OTAs”), meta-search companies, vacation rentals, package providers, car rentals, rail, travel management companies, cruises and ferries. For more information, please visit https://www.rategain.com
Forward Looking Statements
Statements in this document relating to future status, events, or circumstances, including but not limited to statements about plans and objectives, the progress and results of research and development, potential project characteristics, project potential and target dates for project related issues are forward-looking statements based on estimates and the anticipated effects of future events on current and developing circumstances. Such statements are subject to numerous risks and uncertainties and are not necessarily predictive of future results. Actual results may differ materially from those anticipated in the forward-looking statements. The company assumes no obligation to update forward-looking statements to reflect actual results changed assumptions or other factors.
Global Head – Marketing