Online Travel co MakeMyTrip has recorded sales of Rs. 1000 crore for the financial year ending March 2008, as per a release. The company, which claims a 45 percent marketshare in terms of net revenues, and is expected to break even by the end of 2008, adds Eyefortravel. As per founder and CEO Deep Kalra, the company is approaching its first profitble quarter in around 9-10 months. MMT is targeting 500 ofline stores, a majority of them franchisees, and also tied up with mChek for mobile ticketing.
I’m wondering if MMT would be profitable today if they cut down on advertising spends – the competition in the market must be driving up advertising and promotion costs. What are the margins on ticketing anyway? About the IPO, there have been conflicting reports about MakeMyTrip’s plans – to list in 2008, or after. If they’re going to turn a profit by the end of 2008, it’s likely that they wont list before that.