MakeMyTrip's consolidated net profit for the quarter ended June 30, 2026, dropped 65% year-on-year to $9.1 million from $25.8 million, the company reported. Revenue grew 6% year-on-year to $285.6 million, with a quarter-on-quarter increase of 6% from $268.9 million. The Nasdaq-listed travel tech firm attributed the results to multiple macroeconomic headwinds during Q1 FY27, according to inc42.com.
The company cited a more than 10% year-on-year depreciation of the Indian rupee against the US dollar and the ongoing West Asia conflict as key factors dampening international outbound travel demand from India. Despite these challenges, strong seasonal demand and healthy domestic travel partially offset the pressures. CEO Rajesh Magow highlighted that travelers made alternative leisure travel choices, which helped deliver a resilient performance across the platform's diversified travel products and services.
Cost pressures increased during the quarter, with service costs rising 10.4% year-on-year to $82.7 million and marketing and sales promotion expenses up 11.1% to $48.8 million. Personnel expenses declined 3.4% to $38.8 million. Net finance costs surged to $28.3 million from $4 million a year earlier, mainly due to higher interest expenses on the company's convertible senior notes. The results come as MakeMyTrip prepares for its India IPO, reflecting challenges in the travel sector amid geopolitical and currency fluctuations.
Including other income of $269,000, total income for the quarter stood at $285.9 million. The company’s next earnings update will provide further insight into how it navigates ongoing macroeconomic disruptions and the evolving travel demand landscape.