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NEW DELHI: Easy Trip Planners made a decent debut on Friday, as the scrip got listed at Rs 212.25 on NSE, a 13.5 per cent premium over its issue price of Rs 187. On BSE, the scrip got listed at Rs 206.00, up 10.16 per cent.
At the issue price, the stock was valued at 58.7 times FY20 earnings and 49 times FY21 earnings on an annualised basis.
The Rs 510 crore issue, which had been sold between March 8 and 10, was a big hit among investors, receiving a whopping 159.33 times bids. The scrip was trading at a premium of Rs 150-155 in the grey market, the unofficial market for trading in unlisted shares.
A travel company, Easy Trip Planners was ranked second among the key online travel agencies in India in terms of booking volume in the nine months ended December 31, 2020. The company was the only profitable online travel agency among the key online travel agencies in India during FY18-20 in terms of net profit margin.
The company has access to 400 international and domestic flights and around 11 lakh hotels in India and abroad. It has 96 lakh registered customers and a network of close to 60,000 travel agents.
Nearly 90 per cent of the company’s revenue comes from the sale of air tickets while booking of hotel rooms brings in the rest. The company has tie-ups with most domestic airlines and 23 hotel aggregators. These tie-ups allow the firm to provide attractive deals to travellers. It does not charge a convenience fee from customers for ticket booking.
However, analysts say the company's financial performance at operating level has been inconsistent, considering its market positioning among the key online travel agencies (OTAs), but feel it has a scalable business model, business growth in excess of the sectoral average and solid cash generation capability.
At the issue price, the stock was valued at 58.7 times FY20 earnings and 49 times FY21 earnings on an annualised basis.
The Rs 510 crore issue, which had been sold between March 8 and 10, was a big hit among investors, receiving a whopping 159.33 times bids. The scrip was trading at a premium of Rs 150-155 in the grey market, the unofficial market for trading in unlisted shares.
A travel company, Easy Trip Planners was ranked second among the key online travel agencies in India in terms of booking volume in the nine months ended December 31, 2020. The company was the only profitable online travel agency among the key online travel agencies in India during FY18-20 in terms of net profit margin.
The company has access to 400 international and domestic flights and around 11 lakh hotels in India and abroad. It has 96 lakh registered customers and a network of close to 60,000 travel agents.
Nearly 90 per cent of the company’s revenue comes from the sale of air tickets while booking of hotel rooms brings in the rest. The company has tie-ups with most domestic airlines and 23 hotel aggregators. These tie-ups allow the firm to provide attractive deals to travellers. It does not charge a convenience fee from customers for ticket booking.
However, analysts say the company's financial performance at operating level has been inconsistent, considering its market positioning among the key online travel agencies (OTAs), but feel it has a scalable business model, business growth in excess of the sectoral average and solid cash generation capability.
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1 Comment on this Story
 | George Joshua7 hours ago Worst experience! Not Refunding the amount to the same Account from which Payment was Received! EaseMyTrip will Refund to Passenger Bank Account who has not made the Payment or to Alternate Bank Account!!! Supreme Court Order to Refund all customers immediately I'm October 2020. Not obeying Supreme Court Order. I have not yet got my Refund of Rs.3172/- overdue by 5 months. |