mmyt-ex991

Gurugram, India and New York, August 21, 2020 — MakeMyTrip Limited (NASDAQ: MMYT), India’s leading online travel company, today announced its unaudited interim financial and operating results for its fiscal first quarter ended June 30, 2020.

Our results for the 1Q21 have been significantly and negatively impacted by the COVID-19 pandemic and the resulting economic conditions caused the nationwide government imposed lockdown orders. Revenue for all our reportable segments were significantly impacted in 1Q21 by India’s nationwide lockdown which began on March 25, 2020 and continued throughout 1Q21 with only some domestic travel and government approved international travel operations commencing since late May 2020. In view of the COVID-19 pandemic and significant erosion of travel demand due to nationwide travel restrictions and lockdown orders, our focus has been on cost reductions and minimizing operating losses. We implemented various cost saving measures in response to market conditions, including compensation cuts, optimizing our IT infrastructure costs and our office costs and various other general and administrative expense, in addition to a significant reduction in other variable costs.

Results from Operating Activities was a loss of $34.6 million in 1Q21 versus a loss of $42.9 million in 1Q20, reflecting an improvement of $8.3 million YoY. Adjusted Operating Loss⁽¹⁾ was $21.3 million in 1Q21 versus a loss of $29.2 million in 1Q20, reflecting an improvement of $7.9 million YoY.

“MakeMyTrip is very well positioned competitively, operationally and financially to begin its business recovery following India’s prolonged nationwide lockdown, which was in full effect in April and most of May.” said Deep Kalra, Group Executive Chairman. “During the lockdown, we restructured our operating costs, rightsized our staffing needs, further enhanced our online experiences and unified our platforms to drive greater user experiences with greater development efficiencies. Additionally, in order to increase our balance sheet strength, we have secured credit and guarantee facilities of approximately $100 million.”

Revenue. We generated revenue of $6.4 million in the quarter ended June 30, 2020, a decrease of 95.5% (95.1% in constant currency⁽²⁾) over revenue of $141.7 million in the quarter ended June 30, 2019, primarily as a result of a decrease of 91.6% (90.9% in constant currency) in our Revenue – air ticketing, a decrease of 98.4% (98.2% in constant currency) in our Revenue – hotels and packages, a decrease of 98.2% (98.0% in constant currency) in our Revenue – bus ticketing, and a decrease of 88.9% (87.9% in constant currency) in our Revenue – others, each as further described below. The decrease in Revenue was primarily due to the impact of the COVID-19 pandemic (as further discussed herein), including lower travel demand due to travel restrictions and nationwide lockdown orders implemented in India in March 2020.

The table below summarizes our segment profitability in terms of revenue and Adjusted Margin in each segment. For more information, see “Information About Reportable Segments” in our condensed consolidated interim financial statements included elsewhere in this release. Also see “About Key Performance Indicators and Non-IFRS Measures” elsewhere in this release.

	For the three months ended June 30
	Air ticketing				Hotels and packages				Bus ticketing				Others*
	2019		2020		2019		2020		2019		2020		2019			2020
	(Amounts in USD thousands)
Revenue as per IFRS		44,613		3,756		68,524		1,121		18,321		338		10,279			1,146
Add: Customer inducement costs recorded as a reduction of revenue		20,581		309		78,974		332		5,259		12		513			1
Less: Service cost*		161		—		46,123		237		2,229		18		52	^*		1	^*
Adjusted Margin⁽³⁾		65,033		4,065		101,375		1,216		21,351		332		10,740			1,146

Air Ticketing. Revenue from our air ticketing business decreased by 91.6% (90.9% in constant currency) to $3.8 million in the quarter ended June 30, 2020 from $44.6 million in the quarter ended June 30, 2019. Adjusted Margin from our air ticketing business decreased by 93.7% (93.2% in constant currency) to $4.1 million in the quarter ended June 30, 2020, from $65.0 million in the quarter ended June 30, 2019. Adjusted Margin – air ticketing includes customer inducement costs of $0.3 million in the quarter ended June 30, 2020 and $20.6 million in the quarter ended June 30, 2019, recorded as a reduction of revenue. These customer inducement costs added back to Adjusted Margin is intended to reflect the way we view our ongoing business. Under IFRS, these customer inducement costs are required to be recorded as a reduction of revenue. This decrease in Adjusted Margin- air ticketing was due to a decrease in gross bookings of 94.4% (94.0% in constant currency) primarily driven by a 91.7% decrease in the number of air ticketing flight segments year over year, primarily due to the impact of the COVID-19 pandemic, including lower travel demand due to travel restrictions and nationwide lockdown orders implemented in India in March 2020. Further, our Adjusted Margin % (defined as Adjusted Margin as a percentage of gross bookings and previously labeled adjusted net revenue margin) was 7.4% in the quarter ended June 30, 2020 compared to 6.6% in the quarter ended June 30, 2019 and 6.9% in the quarter ended March 31, 2020.

Hotels and Packages. Revenue from our hotels and packages business decreased by 98.4% (98.2% in constant currency) to $1.1 million in the quarter ended June 30, 2020, from $68.5 million in the quarter ended June 30, 2019. Our Adjusted Margin– hotels and packages decreased by 98.8% (98.7% in constant currency) to $1.2 million in the quarter ended June 30, 2020 from $101.4 million in the quarter ended June 30, 2019. Adjusted Margin - hotels and packages includes customer inducement costs of $0.3 million in the quarter ended June 30, 2020 and $79.0 million in the quarter ended June 30, 2019, recorded as a reduction of revenue. These customer inducement costs added back to Adjusted Margin is intended to reflect the way we view our ongoing business. Under IFRS, these customer inducement costs are required to be recorded as a reduction of revenue. Gross bookings decreased by 98.7% (98.6% in constant currency) primarily driven by a 98.2% decrease in the number of hotel-room nights year over year, primarily due to the impact of the COVID-19 pandemic, including lower travel demand due to travel restrictions and nationwide lockdown orders implemented in India in March 2020. Our Adjusted Margin % in the quarter ended June 30, 2020 was 21.3% as compared to 22.3% in the quarter ended June 30, 2019 and 20.6% in the quarter ended March 31, 2020.

Bus Ticketing. Revenue from our bus ticketing business decreased by 98.2% (98.0% in constant currency) to $0.3 million in the quarter ended June 30, 2020, from $18.3 million in the quarter ended June 30, 2019. Adjusted Margin from our bus ticketing business decreased by 98.4% (98.3% in constant currency) to $0.3 million in the quarter ended June 30, 2020 from $21.4 million in the quarter ended June 30, 2019. Adjusted Margin – bus ticketing includes customer inducement costs of $0.01 million in the quarter ended June 30, 2020 and $5.3 million in the quarter ended June 30, 2019, recorded as a reduction

of revenue. These customer inducement costs added back to Adjusted Margin is intended to reflect the way we view our ongoing business. Under IFRS, these customer inducement costs are required to be recorded as a reduction of revenue. Gross bookings decreased by 98.5% (98.3% in constant currency) driven by a 98.0% decrease in the number of bus tickets travelled year over year, primarily due to the impact of the COVID-19 pandemic, including lower travel demand due to travel restrictions and nationwide lockdown orders implemented in India in March 2020. Our Adjusted Margin % was 8.6% in the quarter ended June 30, 2020, as compared to 8.4% in the quarter ended June 30, 2019 and 8.5% in the quarter ended March 31, 2020.

Other Revenue. Other revenue decreased by 88.9% (87.9% in constant currency) to $1.1 million in the quarter ended June 30, 2020, from $10.3 million in the quarter ended June 30, 2019. Our Adjusted Margin – others has decreased to $1.1 million in the quarter ended June 30, 2020 from $10.7 million in the quarter ended June 30, 2019. This was primarily due to lower insurance income, advertisement income and other ancillary revenues in the quarter ended June 30, 2020 due to the impact of the COVID-19 pandemic, including lower travel demand due to travel restrictions and nationwide lockdown orders implemented in India in March 2020. Adjusted Margin – others include customer inducement costs of $0.01 million in the quarter ended June 30, 2020 and $0.5 million in the quarter ended June 30, 2019, recorded as a reduction of revenue. These customer inducement costs added back to Adjusted Margin is intended to reflect the way we view our ongoing business. Under IFRS, these customer inducement costs are required to be recorded as a reduction of revenue.

Other Income. Other income increased to $1.4 million in the quarter ended June 30, 2020, from $0.04 million in the quarter ended June 30, 2019. This was primarily due gain on lease modifications recorded in the quarter ended June 30, 2020.

Personnel Expenses. Personnel expenses decreased by 19.8% to $25.0 million in the quarter ended June 30, 2020 from $31.2 million in the quarter ended June 30, 2019 due to cost saving measures that we have implemented in response to market conditions beginning in April 2020, including compensation cuts of up to 100% of salary for our Group Executive Chairman and Group CEO, approximately 50% salary reductions for the rest of our senior management team, and smaller reductions for the rest of our managerial positions and right sizing our headcount largely in our packages business by shifting to variable cost driven offline sales channels, away from high fixed cost offline channels and optimizing areas where business recovery is expected to be slower. Excluding employee share-based compensation costs for the first quarter of both fiscal years 2021 and 2020, personnel expenses decreased by 31.1%.

Marketing and sales promotion expenses. Marketing and sales promotion expenses decreased by 98.4% to $0.9 million in the quarter ended June 30, 2020 from $54.5 million in the quarter ended June 30, 2019. The decrease in marketing and sales promotion expenses was due to the significant curtailment of these variable costs and cancellation of all discretionary marketing and sales promotion spends such as events and brand building due to the impact of the COVID-19 pandemic. Our marketing expenses primarily include online video and display advertising on websites, television and in print, search engine marketing, referrals from meta-search and travel research websites and other media costs such as public relations and sponsorships.

Additionally, we have incurred customer inducement costs recorded as a reduction of revenue and certain loyalty program costs of $0.7 million in the quarter ended June 30, 2020 and $106.3 million in the quarter ended June 30, 2019. The details are as follows:

Other Operating Expenses. Other operating expenses decreased by 81.5% to $7.6 million in the quarter ended June 30, 2020 from $41.3 million in the quarter ended June 30, 2019, primarily due to a decrease in payment gateway charges and outsourcing fees as a result of less bookings due to lower travel demand and nation-wide lockdown implement in India due to the COVID-19 pandemic. We have also significantly ramped down our outsourced teams at our call centres and various other general and administrative expenses in response to market conditions, which led to a further decrease in our operating expenses in the quarter ended June 30, 2020.

Depreciation and Amortization. Our depreciation and amortization expenses were $8.5 million in the quarter ended June 30, 2020 in comparison to $8.2 million in the quarter ended June 30, 2019.

Results from Operating Activities. As a result of the foregoing factors, our results from operating activities were a loss of $34.6 million in the quarter ended June 30, 2020 as compared to a loss of $42.9 million in the quarter ended June 30, 2019. Excluding the effects of our employee share-based compensation costs and amortization of acquisition related intangibles for the first quarter of both fiscal years 2021 and 2020 and merger and acquisitions related expenses in the first quarter of fiscal year 2020, we would have recorded an Adjusted Operating Loss of $21.3 million in the quarter ended June 30, 2020 as compared with Adjusted Operating Loss of $29.2 million in the quarter ended June 30, 2019. For a description of the components and calculation of “Adjusted Operating Profit (Loss)” and a reconciliation of this non-IFRS measure to the most directly comparable IFRS measure “Results from operating activities”, see — “About Key Performance Indicators and Non-IFRS Measures” elsewhere in this release.

Net Finance Cost (Income). Our net finance cost was $0.1 million in the quarter ended June 30, 2020 as compared to net finance income of $0.2 million in the quarter ended June 30, 2019, primarily due to the net foreign exchange loss in quarter ended June 30, 2020 mainly as a result of the depreciation of the Indian Rupee against the U.S. dollar as at June 30, 2020 as compared to March 31, 2020.

Loss for the period. As a result of the foregoing factors, our loss for the quarter ended June 30, 2020 was $34.6 million as compared to a loss of $42.6 million in the quarter ended June 30, 2019. Excluding the effects of employee share-based compensation costs, amortization of acquisition related intangibles, share of loss (profit) of equity-accounted investees, net change in value of financial liability in business combination, and income tax expense (benefit) for the first quarter of both fiscal years 2021 and 2020, and merger and acquisitions related expenses in the first quarter of fiscal year 2020, we would have recorded an Adjusted Net Loss of $21.1 million in the quarter ended June 30, 2020, as compared to Adjusted Net Loss of $28.7 million in the quarter ended June 30, 2019. For a description of the components and calculation of “Adjusted Net Profit (Loss)” and a reconciliation of this non-IFRS measure to the most directly comparable IFRS measure “Loss for the period”, see — “About Key Performance Indicators and Non-IFRS Measures” elsewhere in this release.

Diluted Loss per share. Diluted loss per share was $0.32 for the quarter ended June 30, 2020 as compared to diluted loss per share of $0.41 in the quarter ended June 30, 2019. After adjusting for the effects of employee share-based compensation costs, amortization of acquisition related intangibles, share of loss (profit) of equity-accounted investees, net change in value of financial liability in business combination, and income tax expense (benefit) for the first quarter of both fiscal years 2021 and 2020, and merger and acquisitions related expenses in the first quarter of fiscal year 2020, Adjusted Diluted Loss per share would have been $0.20 in the quarter ended June 30, 2020 as compared to Adjusted Diluted Loss per share of $0.27 in the quarter ended June 30, 2019. For a description of the components and calculation of “Adjusted Diluted Earnings (Loss) per Share” and a reconciliation of this non-IFRS measure to the most directly comparable IFRS measure “diluted earnings (loss) per share”, see — “About Key Performance Indicators and Non-IFRS Measures” elsewhere in this release.

Liquidity. As at June 30, 2020, the balance of cash and cash equivalents and term deposits on our balance sheet was $173.8 million. Additionally, in order to increase our balance sheet flexibility and provide a back-up source of liquidity for any contingencies or investment opportunities, we have secured credit and guarantee facilities of approximately $100 million, which includes a $70 million facility from an affiliate of our largest shareholder and the balance from a commercial bank in India.

On November 6, 2012, our Board of Directors authorized the Company to purchase outstanding ordinary shares, par value $0.0005 per share, of the Company. On January 22, 2016, our Board of Directors authorized the Company to increase the share repurchase plan to an amount aggregating up to $150 million at a price per ordinary share not exceeding $21.50 until November 30, 2021. There were no repurchases pursuant to the share repurchase plan during the fiscal 2021 first quarter. As of June 30, 2020, we had remaining authority to repurchase up to approximately $136.0 million of our outstanding ordinary shares.

MakeMyTrip will host a conference call to discuss the Company’s results for the quarter ended June 30, 2020 beginning at 7:30 AM EDT on August 21, 2020. To participate, please dial + 1-(844)-883-3862 from within the U.S. or +1-(574)-990-9829 from any other country. Thereafter, callers will be prompted to enter the participant passcode 6165124. A live webcast of the conference call will also be available through the “Investor Relations” section of the Company’s website at http://investors.makemytrip.com.

A telephonic replay of the conference call will be available for one week by dialing +1-(855)-859-2056 and using passcode 6165124. A one-month replay of the live webcast will also be available at “Investor Relations” section of the Company’s website at http://investors.makemytrip.com, shortly following the conclusion of the call.

We evaluate our financial performance in each of our reportable segments based on our key performance indicator, Adjusted Margin, a segment profitability measure, which represents IFRS revenue after adding back customer inducement costs in the nature of customer incentives, customer acquisition costs and loyalty program costs which are reported as a reduction of revenue, and deducting the cost of acquisition of services primarily relating to sales to customers where the company acts as the principal. In fiscal year 2019 and 2020, we referred to Adjusted Margin as “Adjusted Revenue”. We believe Adjusted Margin is a more accurate representation reflecting the margins in the business. Similarly, in fiscal year 2019 and 2020, we referred to Adjusted Margin % as “Adjusted Revenue Margin”. The presentation of these segment profitability measures and key performance indicators is not meant to be considered in isolation or as a substitute for our consolidated financial results prepared in accordance with IFRS as issued by the IASB. Our Adjusted Margin and Adjusted Margin % may not be comparable to similarly titled measures reported by other companies due to potential differences in the method of calculation.

As certain parts of our revenues are recognized on a “net” basis when we are acting as an agent, and other parts of our revenue are recognized on a “gross” basis when we are acting as the principal, we evaluate our financial performance in each of our reportable segments based on Adjusted Margin, which is a segment profitability measure, as we believe that Adjusted Margin reflects the value addition of the travel services that we provide to our customers. Income from packages, including income on airline tickets sold to customers as a part of tours and packages is accounted for on a gross basis as the Company controls the services before such services are transferred to travelers. Revenue from the packages business which is accounted for on a “gross” basis represents the total amount paid by customers for these travel services and products, while our cost of procuring the relevant services and products for sale to our customers in this business is classified as service cost.

Constant currency results are financial measures that are not in accordance with IFRS, and assume constant currency exchange rates used for translation based on the rates in effect during the comparable period in the prior fiscal year.

We also refer to Adjusted Operating Profit (Loss), Adjusted Net Profit (Loss) and Adjusted Diluted Earnings (Loss) per Share which are non-IFRS measures and most directly comparable to results from operating activities, profit (loss) and diluted earnings (loss) per share for the year, respectively, each of which is an IFRS measure. We use financial measures that exclude share-based compensation expense, all merger and acquisitions related expenses, amortization of acquired intangibles, impairment of intangible assets and goodwill, change in financial liability relating to acquisitions, share of loss (profit) of equity-accounted investees, impairment in respect of equity-accounted investees, gain on disposal of an equity-accounted investee, income tax expense (benefit) and provision for litigations for our internal management reporting, budgeting and decision making purposes, including comparing our operating results to that of our competitors. Because of varying available valuation methodologies and subjective assumptions that companies can use when adopting IFRS 2 “Share based payment,” management believes that providing non-IFRS measures that exclude such expenses allows investors to make additional comparisons between our operating results and those of other companies. We believe that our current calculations of Adjusted Operating Profit (Loss), Adjusted Net Profit (Loss), Adjusted Margin %, Adjusted Diluted Earnings (Loss) per Share and change in constant currency represent a balanced approach to adjusting for the impact of certain discrete, unusual or non-cash items which are useful in measuring our results and provide useful information to investors and analysts. We believe that investors and analysts use these non-IFRS measures and key performance indicators to compare our company and our performance to that of our global peers. However, the presentation of these non-IFRS measures and key performance indicators are not meant to be considered in isolation or as a substitute for our consolidated financial results

prepared in accordance with IFRS as issued by the IASB. These non-IFRS measures and key performance indicators may not be comparable to similarly titled measures reported by other companies due to potential differences in the method of calculation. The IFRS measures most directly comparable to Adjusted Operating Profit (Loss), Adjusted Net Profit (Loss) and Adjusted Diluted Earnings (Loss) per share are results from operating activities, profit (loss) for the period and diluted earnings (loss) per share, respectively.

A limitation of using Adjusted Operating Profit (Loss), Adjusted Net Profit (Loss) and Adjusted Diluted Earnings (Loss) per share instead of operating profit (loss), profit (loss) and diluted earnings (loss) per share calculated in accordance with IFRS as issued by the IASB is that these non-GAAP financial measures exclude a recurring cost, namely share-based compensation. Management compensates for this limitation by providing specific information on the IFRS amounts excluded from Adjusted Operating Profit (Loss), Adjusted Net Profit (Loss) and Adjusted Diluted Earnings (Loss) per share.

This release contains certain statements concerning the Company’s future growth prospects and forward-looking statements, as defined in the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on the Company’s current expectations, assumptions, estimates and projections about the Company and its industry. These forward-looking statements are subject to various risks and uncertainties. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "anticipate", "believe", "estimate", "expect", "intend", "will", "project", "seek", "should" and similar expressions. Such statements include, among other things, quotations from management as well as MakeMyTrip’s (MMYT) strategic and operational plans. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, a slow-down of economic growth in India and the global economic downturn, general declines or disruptions in the travel industry, volatility in the trading price of MMYT’s shares, MMYT’s reliance on its relationships with travel suppliers and strategic alliances, failure to further increase MMYT’s brand recognition to obtain new business partners and consumers, failure to compete against new and existing competitors, failure to successfully manage current growth and potential future growth, risks associated with any strategic investments or acquisitions, seasonality in the travel industry in India and overseas, failure to successfully develop MMYT’s corporate travel business, damage to or failure of MMYT's infrastructure and technology, loss of services of MMYT's key executives, and inflation in India and in other countries. These and other factors are more fully discussed in the “Risk Factors” section of MMYT's 20-F dated August 17, 2020, filed with the United States Securities and Exchange Commission. COVID-19, and the volatile regional and global economic conditions stemming from it, and additional or unforeseen effects from the COVID-19 pandemic, could also continue to give rise to or aggravate these risk factors, which in turn could continue to materially adversely affect our business, financial condition, liquidity, results of operations (including revenues and profitability) and/or stock price. Further, COVID-19 may also affect our operating and financial results in a manner that is not presently known to us or that we currently do not consider to present significant risks to our operations. All information provided in this release is provided as of the date of issuance of this release, and MMYT does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

MakeMyTrip Limited is India's leading online travel company. We own and operate well recognized online brands, including MakeMyTrip, Goibibo and redBus. Through our primary websites, www.makemytrip.com, www.goibibo.com, www.redbus.in, and mobile platforms, travelers can research, plan and book a wide range of travel services and products in India as well as overseas. Our services and products include air ticketing, hotel and alternative accommodations bookings, holiday planning and packaging, rail ticketing, bus ticketing, car hire and ancillary travel requirements such as facilitating access to third-party travel insurance and visa processing.

We provide our customers with access to all major domestic full-service and low-cost airlines operating in India and all major airlines operating to and from India, over 77,000 domestic accommodation properties in India and more than 700,000 properties outside India, Indian Railways and all major Indian bus operators.

	As at March 31, 2020			As at June 30, 2020
Assets
Property, plant and equipment		35,997			28,031
Intangible assets and goodwill		721,990			713,551
Trade and other receivables, net		2,658			1,871
Investment in equity-accounted investees		5,363			5,369
Other investments		3,683			3,910
Term deposits		207			171
Non-current tax assets		34,160			23,091
Other non-current assets		131			124
Total non-current assets		804,189			776,118
Inventories		36			42
Current tax assets		4,447			11,895
Trade and other receivables, net		53,407			31,617
Term deposits		37,823			2,368
Other current assets		53,428			43,424
Cash and cash equivalents		129,881			171,223
Total current assets		279,022			260,569
Total assets		1,083,211			1,036,687
Equity
Share capital		52			52
Share premium		1,985,555			1,986,527
Reserves		(1,345	)		(1,118	)
Accumulated deficit		(1,147,597	)		(1,182,013	)
Share based payment reserve		135,738			147,331
Foreign currency translation reserve		(114,166	)		(118,484	)
Total equity attributable to equity holders of the Company		858,237			832,295
Non-controlling interests		4,055			3,838
Total equity		862,292			836,133
Liabilities
Loans and borrowings^#		21,613			15,436
Employee benefits		6,335			6,432
Contract liabilities		1,548			1,219
Deferred tax liabilities, net		1,777			1,632
Other non-current liabilities		9,775			9,892
Total non-current liabilities		41,048			34,611
Loans and borrowings^#		3,971			3,277
Trade and other payables		70,747			52,914
Contract liabilities		33,364			52,105
Other current liabilities		40,989			26,847
Provisions		30,800			30,800
Total current liabilities		179,871			165,943
Total liabilities		220,919			200,554
Total equity and liabilities		1,083,211			1,036,687

#Loan and borrowings includes lease liabilities amounting to $17.7 million as at June 30, 2020 (as at March 31, 2020: $24.6 million) on account of adoption of IFRS 16 Leases from April 1, 2019.

CONDENSED CONSOLIDATED INTERIM STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME (LOSS)

	For the three months ended June 30
	2019			2020
Revenue
Air ticketing		44,613			3,756
Hotels and packages		68,524			1,121
Bus ticketing		18,321			338
Other revenue		10,279			1,146
Total revenue		141,737			6,361
Other income		35			1,360
Service cost
Procurement cost of hotels and packages services		46,123			237
Other cost of providing services		3,429			97
Personnel expenses		31,157			24,980
Marketing and sales promotion expenses		54,526			884
Other operating expenses		41,263			7,627
Depreciation and amortization		8,172			8,483
Result from operating activities		(42,898	)		(34,587	)
Finance income		1,984			1,650
Finance costs		1,775			1,785
Net finance income (costs)		209			(135	)
Share of profit (loss) of equity-accounted investees		65			18
Loss before tax		(42,624	)		(34,704	)
Income tax benefit (expense)		32			134
Loss for the period		(42,592	)		(34,570	)
Other comprehensive income (loss)
Items that will not be reclassified to profit or loss:
Remeasurement of defined benefit liability		—			(78	)
Equity instruments at FVOCI - net change in fair value		81			227
		81			149
Items that are or may be reclassified subsequently to profit or loss:
Foreign currency translation differences on foreign operations		7,135			(4,334	)
Other comprehensive income (loss) for the period, net of tax		7,216			(4,185	)
Total comprehensive loss for the period		(35,376	)		(38,755	)
Profit (Loss) attributable to:
Owners of the Company		(42,622	)		(34,369	)
Non-controlling interests		30			(201	)
Profit (Loss) for the period		(42,592	)		(34,570	)
Total comprehensive Income (loss) attributable to:
Owners of the Company		(35,453	)		(38,538	)
Non-controlling interests		77			(217	)
Total comprehensive Income (loss) for the period		(35,376	)		(38,755	)
Loss per share (in USD)
Basic		(0.41	)		(0.32	)
Diluted		(0.41	)		(0.32	)
Weighted average number of shares (including Class B Shares)
Basic		104,596,775			106,057,449
Diluted		104,596,775			106,057,449

	Attributable to equity holders of the Company
	Share Capital		Share Premium		Fair Value Reserves			Accumulated Deficit			Share Based Payment Reserve			Foreign Currency Translation Reserve			Total			Non- Controlling Interests			Total Equity
Balance as at April 1, 2020		52		1,985,555		(1,345	)		(1,147,597	)		135,738			(114,166	)		858,237			4,055			862,292
Total comprehensive income (loss) for the period
Profit (loss) for the period		—		—		—			(34,369	)		—			—			(34,369	)		(201	)		(34,570	)
Other comprehensive income (loss)
Foreign currency translation differences		—		—		—			—			—			(4,318	)		(4,318	)		(16	)		(4,334	)
Equity instruments at FVOCI - net change in fair value		—		—		227			—			—			—			227			—			227
Remeasurement of defined benefit liability		—		—		—			(78	)		—			—			(78	)		—			(78	)
Total other comprehensive income (loss)		—		—		227			(78	)		—			(4,318	)		(4,169	)		(16	)		(4,185	)
Total comprehensive income (loss) for the period		—		—		227			(34,447	)		—			(4,318	)		(38,538	)		(217	)		(38,755	)
Transactions with owners, recorded directly in equity
Contributions by owners
Share-based payment		—		—		—			—			12,596			—			12,596			—			12,596
Issue of ordinary shares on exercise of share based awards		—		972		—			—			(972	)		—			—			—			—
Transfer to accumulated deficit on expiry of share based awards		—		—		—			31			(31	)		—			—			—			—
Total contributions by owners		—		972		—			31			11,593			—			12,596			—			12,596
Balance as at June 30, 2020		52		1,986,527		(1,118	)		(1,182,013	)		147,331			(118,484	)		832,295			3,838			836,133

	For the three months ended June 30
	Air ticketing				Hotels and packages				Bus ticketing				All other segments**				Total
Particulars	2019		2020		2019		2020		2019		2020		2019		2020		2019			2020
Consolidated Revenue		44,613		3,756		68,524		1,121		18,321		338		10,279		1,146		141,737			6,361
Add: Customer inducement costs recorded as a reduction of revenue*		20,581		309		78,974		332		5,259		12		513		1		105,327			654
Less: Service cost**		161		—		46,123		237		2,229		18		52		1		48,565			256
Adjusted Margin		65,033		4,065		101,375		1,216		21,351		332		10,740		1,146		198,499			6,759
Other income																		35			1,360
Personnel expenses																		(31,157	)		(24,980	)
Marketing and sales promotion expenses																		(54,526	)		(884	)
Customer inducement costs recorded as a reduction of revenue*																		(105,327	)		(654	)
Certain loyalty program costs related to "All other segments"**																		(987	)		(78	)
Other operating expenses																		(41,263	)		(7,627	)
Depreciation and amortization																		(8,172	)		(8,483	)
Finance income																		1,984			1,650
Finance costs																		(1,775	)		(1,785	)
Share of profit (loss) of equity- accounted investees																		65			18
Loss before tax																		(42,624	)		(34,704	)

* For purposes of reporting to the Chief Operating Decision Maker (CODM), the segment profitability measure i.e. Adjusted Margin is arrived by adding back certain customer inducement costs including customers incentives, customer acquisition cost and loyalty programs costs, which are recorded as a reduction of revenue and adding back service cost.

** Certain loyalty program costs are excluded from service cost amounting to USD 78 (June 30, 2019: USD 987) for “All other segments”.

RECONCILIATION OF IFRS TO NON-IFRS FINANCIAL MEASURES AND KEY PERFORMANCE INDICATORS (Unaudited)

The following table reconciles our revenue (an IFRS measure) to Adjusted Margin (a segment profitability measure):

	For the three months ended June 30
	Air ticketing				Hotels and packages				Bus ticketing				Others*
	2019		2020		2019		2020		2019		2020		2019			2020
	(Amounts in USD thousands)
Revenue as per IFRS		44,613		3,756		68,524		1,121		18,321		338		10,279			1,146
Add: Customer inducement costs recorded as a reduction of revenue		20,581		309		78,974		332		5,259		12		513			1
Less: Service cost*		161		—		46,123		237		2,229		18		52	^*		1	^*
Adjusted Margin⁽³⁾		65,033		4,065		101,375		1,216		21,351		332		10,740			1,146

(Unaudited)	For the three months ended June 30, 2020
	Revenue															Adjusted Margin
Reported Growth and Constant Currency Growth (YoY)	Air Ticketing			Hotels and Packages			Bus Ticketing			Others			Total			Air Ticketing			Hotels and Packages			Bus Ticketing			Others
Reported Growth		-91.6	%		-98.4	%		-98.2	%		-88.9	%		-95.5	%		-93.7	%		-98.8	%		-98.4	%		-89.3	%
Impact of Foreign Currency Translation		0.7	%		0.2	%		0.2	%		1.0	%		0.4	%		0.5	%		0.1	%		0.1	%		0.9	%
Constant Currency Growth		-90.9	%		-98.2	%		-98.0	%		-87.9	%		-95.1	%		-93.2	%		-98.7	%		-98.3	%		-88.4	%

	For the three months ended June 30
	2019			2020
	(in thousands, except percentages)
Unit Metrics
Air Ticketing – Flight segments⁽¹⁾		10,609			877
Hotels and Packages – Room nights⁽²⁾		7,558			133
Standalone Hotels – Online⁽³⁾ – Room nights⁽²⁾		7,380			133
Bus Ticketing – Travelled tickets		20,980			429

Adjusted Margin
Air Ticketing	$	65,033		$	4,065
Hotels and Packages		101,375			1,216
Bus Ticketing		21,351			332
Others		10,740			1,146

Gross Bookings
Air Ticketing	$	985,621		$	54,914
Hotels and Packages		454,585			5,706
Bus Ticketing		253,387			3,858
		1,693,593			64,478

Adjusted Margin %
Air Ticketing		6.6	%		7.4	%
Hotels and Packages		22.3	%		21.3	%
Bus Ticketing		8.4	%		8.6	%

(1) “Flight segments” means a flight between two cities, whether or not such flight is part of a larger or longer itinerary.

(2) “Room nights,” also referred to as “hotel-room nights,” is the total number of hotel rooms occupied by a customer or group, multiplied by the number of nights that such customer or group occupies those rooms.

(3) “Standalone Hotels – Online” refer to Standalone Hotels booked on desktops, laptops, mobiles and other online platforms.

	For the three months ended June 30
	2019			2020
Loss for the period		(42,592	)		(34,570	)
Adjustments for non-cash items		16,964			17,216
Change in working capital		1,716			24,852
Net cash generated from (used in) operating activities		(23,912	)		7,498
Net cash generated from (used in) investing activities		38,958			35,127
Net cash generated from (used in) financing activities		(5,394	)		(1,230	)
Increase (decrease) in cash and cash equivalents		9,652			41,395
Cash and cash equivalents at beginning of the period		177,990			129,881
Effect of exchange rate fluctuations on cash held		(475	)		(53	)
Cash and cash equivalents at end of the period		187,167			171,223

Reconciliation of Adjusted Operating Profit (Loss)	For the three months ended June 30
(Unaudited)	2019			2020
Results from operating activities as per IFRS		(42,898	)		(34,587	)
Add: Employee share-based compensation costs		9,102			9,787
Add: Acquisition related intangibles amortization		3,727			3,472
Add: Merger and acquisitions related expenses		890			—
Adjusted Operating Profit (Loss)		(29,179	)		(21,328	)

Reconciliation of Adjusted Net Loss	For the three months ended June 30
(Unaudited)	2019			2020
Profit (Loss) for the period as per IFRS		(42,592	)		(34,570	)
Add: Employee share-based compensation costs		9,102			9,787
Add: Acquisition related intangibles amortization		3,727			3,472
Add: Merger and acquisitions related expenses		890			—
Add (Less): Share of (profit) loss of equity-accounted investees		(65	)		(18	)
Add: Net change in value of financial liability in business combination		263			362
Add (Less): Income tax (benefit) expense		(32	)		(134	)
Adjusted Net Loss		(28,707	)		(21,101	)
Adjusted Earnings (Loss) per share
Diluted		(0.27	)		(0.20	)

Reconciliation of Adjusted Diluted Earnings (Loss) per Share	For the three months ended June 30
(Unaudited)	2019			2020
Diluted Earnings (Loss) per share for the period as per IFRS		(0.41	)		(0.32	)
Add: Employee share-based compensation costs		0.09			0.09
Add: Acquisition related intangibles amortization		0.04			0.03
Add: Merger and acquisitions related expenses		0.01			—
Add (Less): Share of (profit) loss of equity-accounted investees	*			*
Add: Net change in value of financial liability in business combination	*			*
Add (Less): Income tax (benefit) expense	*			*
Adjusted Diluted Earnings (Loss) per share		(0.27	)		(0.20	)