OYO Hotels & Homes reports revenue of USD 951 million in 2019

Eloise Hanson Eloise Hanson Uploaded 17 February 2020

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Worldwide: From April 2018 to March 2019 (FY19), OYO has reported a 4.5 times year-on-year revenue growth despite a USD 335 million loss.

In markets like India, which contribute to 63.5 per cent of the company's fiscal revenue, OYO is in the third stage of its growth journey. This means OYO is focused on maintaining a strong brand preference and ensuring profitability.

In markets like China, where OYO is in the second stage of its journey, the focus is on creating a strong brand resonance and ensuring improved gross margin. China primarily contributed to the company's 36.5 per cent of total revenue from international markets in FY19.

Launching in China resulted in an increase in OYO's net loss percentage, which grew from 25 per cent to 35 per cent of revenue in FY19. China and other international markets that were in development during this time contributed to 75 per cent of OYO's losses for FY19.

Nevertheless in places like India, the company reduced its losses from 24 per cent to 14 per cent of revenue in FY19.

OYO also reported an increase in daily guest check-ins, as well as an increase in hotels and assets owners across the world.

Repeat guests contributed to 73 per cent of OYO's revenue in 2019.

The OYO app is now among the top three hotel booking apps, with over 10 million downloads.

Abhishek Gupta, global CFO of OYO Hotels & Homes, said: "We have crossed an important milestone of achieving global revenue of USD 951 million in FY 2019, a 4.5 times increase on a year-on-year basis. OYO's relentless focus on offering an exceptional guest experience, delivering value to asset partners and constant technological innovation supported by the hard work and perseverance of every OYOpreneur has been the core propellers behind this performance."

"As we work towards consistently improving our financial performance, ensuring strong yet sustainable growth, high operational and service excellence and a clear path to profitability will be our key to our approach in 2020 and beyond. The company's increased focus on corporate governance and building a high-performing and employee-first work culture will also drive this next phase of sustainable growth for us. We look forward to adding value to the experience of travellers and asset partners across the globe."

OYO's portfolio comprises more than 43,000 hotels with over one million rooms. Through its vacation homes business, the company has access to over 130,000 homes around the world under OYO Home, Belvilla, Danland, Dancenter, and Traum-Ferienwohnungen brands.

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