IndiGo-led flight disruptions impact Yatra’s air bookings by Rs 48 crore

Yatra CEO Dhruv Shringi

• Stricter FDTL norms led to December flight delays, cancellations
• Yatra's Q3 profit dropped to Rs 8.34 crore from Rs 10.01 crore
• Over Rs 30 crore MICE revenue deferred to future quarters

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The implementation of stricter Flight Duty Time Limitation (FDTL) norms in December led to airline operational disruptions, resulting in elevated cancellations and delays, particularly in early December, Yatra said while announcing their Q3 results on February 11.

These disruptions had an estimated air gross bookings impact of approximately Rs 48 crore, disproportionately affecting December corporate travel and having a material impact on the Meetings, Incentives, Conferences, and Exhibitions (MICE) business.

The travel company reported total income of Rs 261.592 crore versus Rs 241.306 crore in the same quarter a year ago.

Profit for the period stood at Rs 8.336 crore versus Rs 10.01 crore in the previous quarter.

Over Rs 30 crore of MICE revenue slipped into subsequent quarters due to deferred group bookings amid travel uncertainty.

"Our corporate and MICE businesses both got impacted by the disruption in the domestic aviation industry in India with significant amount of MICE business getting pushed into Q4 FY26 and Q1 FY27," said Chief Executive Officer, Siddhartha Gupta.

Last-minute cancellations, where advance vendor payments had already been made, resulted in working capital blockage and higher finance costs during the quarter.

“I am pleased to report another strong quarter despite significant disruption in the airline industry in India during the quarter. We continue to deliver results ahead of our revised guidance with RLSC growth coming in at 23% and Adjusted EBITDA grew 41% YoY. During the period ended 31st December 2025 our Adjusted EBITDA and PAT exceeded our full year FY 2025 performance, positioning us well for a strong FY 2026," Executive Chairperson, Whole Time Director, Dhruv Shringi, said.

During the quarter, Yatra strengthened its management team with the appointment of Siddhartha Gupta as CEO. Siddhartha brings with him a wealth of B2B experience having led large B2B SAAS businesses.

Overall gross bookings grew 21% year-on-year, supported by a healthy recovery in the consumer (B2C) business, continued strength in the corporate segment, and growth in affiliate network partners for hotels. B2C business is now beginning to deliver healthy growth with positive unit economics.

"Our B2C business continued its recovery trajectory during the quarter backed by strong seasonal tailwinds. This business now is demonstrating steady growth with profitable unit economics," Gupta said.

The Corporate business maintained strong momentum, adding 40 new corporate customers during the quarter, representing an annual revenue potential of Rs 223.4 crore.

"Looking ahead, we remain focused on scaling high-margin segments, deepening technology capabilities, and driving sustainable long-term value for stakeholders,” Gupta said.