Oyo loss drops by a third, sales jump

Oravel Stays, which owns and operates the OYO brand of budget hotels, has reported stronger financial results for the financial year ended March 2017, during which the company saw its losses drop by a third, while its topline has increased four-fold over the same period.

The company reported a loss from continuing operations of Rs 330.97 crore, a drop of more than 33% for fiscal 2017, compared to Rs 496.31 crore for the previous financial year, according to its standalone financial statement accessed from research platform Tofler. The narrowing of loss for the 12 month period ended March 31, 2017 was primarily due to a sharp drop in expenses.

The company reported other expenses of Rs 226.91 crore for fiscal 2017, compared to ?390.14 crore for the previous financial year. It, however, did not elaborate what the other expenses represented.

Separately, Oravel Stays, which closed a $260 million funding round in September last year, saw a fourfold rise in its total revenue, to Rs 102.19 crore. The rise in topline for the financial year 2016-17, has been largely driven by the company seeing its net booking value almost doubling to Rs 797.88 crore, which has been further pumped up by the company witnessing a more than 88% rise in used room nights.