OYO Achieves Record Profitability Milestone Among Indian Startups with $72M Earnings

OYO has officially crossed into profitability territory that few Indian startups have reached, with founder Ritesh Agarwal announcing during an internal town hall that the company now leads its peers in net profitability. The hospitality platform recorded a profit after tax of approximately $72 million for the fiscal year ending March 31, 2025—a striking 172% surge from the prior year’s $27 million.

Financial Performance Reaches New Heights

The company’s adjusted EBITDA climbed to roughly $132 million in FY25, up 27% year-over-year from $104 million in FY24, cementing a remarkable streak of profitability across 10 consecutive quarters. This financial muscle has translated directly to shareholder returns, with earnings per share jumping 158% to $0.93 from $0.36 in the previous fiscal year.

OYO’s revenue expanded to approximately $754 million, reflecting a 20% annual increase that underscores the platform’s expanding commercial footprint. The Gross Booking Value (GBV) surged 54% to $1.92 billion, driven substantially by the company’s premium hotel strategy and the seamless integration of G6 Hospitality into its operations.

Q4 FY25: The Strongest Quarter Yet

The final quarter delivered exceptional momentum across all metrics. GBV reached roughly $744 million—a 126% year-over-year jump—while revenue hit approximately $218 million, up 41% compared to the same period the prior year. Adjusted EBITDA expanded 61% to around $51 million in Q4 FY25 alone.

The quarter showcased OYO’s premiumization playbook in action. Hotel storefronts expanded by 25% through G6 acquisitions and organic growth, while the homes segment expanded 42% year-over-year. Per-storefront monthly GBV metrics exploded upward, reaching roughly $8,940—a 161% increase that demonstrates the effectiveness of OYO’s mid-to-premium repositioning.

Premium Expansion Across Geographies

OYO’s strategy to upgrade its portfolio mix bore fruit through multiple channels. The company-serviced property portfolio expanded aggressively, with over 30 Sunday Hotels launched within the past 12 months across India, Saudi Arabia, UAE, and Southeast Asia. In the SEAME region specifically, company-managed properties mushroomed from just 7 locations in Q4 FY24 to 256 in Q4 FY25.

The global network now encompasses approximately 22,700 hotels and 119,900 homes, alongside 91,300 total listings. International performance gained particular traction in developed markets, with US storefronts climbing 55% and GBV expanding 45% during the full fiscal year.

Market Recognition and Future Trajectory

Credit rating agencies took notice of this financial turnaround. Moody’s upgraded OYO’s rating, acknowledging the company’s sustained profitability improvements and enhanced credit standing across recent quarters.

Looking ahead to FY26, management has articulated an ambitious roadmap: targeting EBITDA of over $233 million and earnings per share of $1.31, building on the current annualized EBITDA run-rate of approximately $198 million. The US operations division is positioned as a primary growth engine, with consolidated GBV projected to expand 3.4x relative to FY25 levels.

Outperforming Industry Competitors

Within India’s hospitality and travel sectors, OYO demonstrated the most robust profit growth compared to major listed peers including IHCL, Lemon Tree, Ixigo, and Royal Orchid Hotels during FY 2025. OYO’s revenue performance exceeded Lemon Tree, Ixigo, and Royal Orchid Hotels, though IHCL maintained a larger revenue base. This positioning underscores OYO’s ascendance from turnaround narrative to genuine profitability leader among Indian startups scaling globally.

Financial conversions applied using the exchange rate of 1 USD = 85.7 INR as of June 9, 2025.