RateGain Travel Technologies (RATEGAIN) Q1 26/27 earnings summary

Executive summary

• Achieved highest-ever quarterly operating revenue of INR 785 crore in Q1 FY 2027, up 188% year-over-year, with annualized revenue run rate at INR 3,140 crore.

• Robust year-over-year growth driven by strong operating margins, successful Sojern integration, and AI adoption across all products.

• Approved unaudited standalone and consolidated financial results for the quarter ended June 30, 2026.

• Maintained momentum in customer acquisition, product innovation, and a diversified global client footprint.

• Completed acquisition of Sojern Inc., a US-based AI-powered hospitality and travel marketing group.

Financial highlights

• Q1 FY 2027 revenue grew 187.6% year-over-year to INR 785 crore; adjusted EBITDA up 289% year-over-year to INR 193 crore (24.6% margin).

• Adjusted PAT was INR 116.8 crore (14.9% margin), up 148.8% year-over-year; reported PAT was INR 94.9 crore (12.1% margin).

• Free cash flow conversion was robust at 78.8%, with net cash & equivalents at INR 255.6 crore and net debt at INR 615.4 crore as of June 30, 2026.

• DaaS segment grew 22.7% year-over-year; Distribution grew 3.1% year-over-year; MarTech segment grew 341% year-over-year, driven by Sojern consolidation.

• Consolidated profit after tax for Q1 FY27 was 949.10 million, compared to 469.32 million in Q1 FY26.

Outlook and guidance

• Full-year FY 2027 revenue expected at upper end of prior guidance, around INR 3,100 crore, representing 70% year-over-year growth.

• Adjusted EBITDA margin guidance revised upward to 22.5%-23.5% for FY 2027, up 100 basis points from previous range.

• Management emphasizes operational discipline, ongoing investment in AI-driven solutions, and targeting 15%-20% organic growth.

• Results for Q1 FY27 are not comparable to prior periods due to the consolidation of Sojern Inc.