Nasdaq listed MakeMyTrip has been witnessing losses for last 14 quarters and the company’s loss in last quarter FY’16 stood at around $58.29 which has increased from $2.63 million in FY15.
The overall revenue of the company increased by 12.1% to $336.1 million.
One of the reasons for the significant increase in loss, is the company’s cash burn rate which was increased to Rs 354 crore in Q4 and the total expenditure was Rs 730 crore during the year end March 2016.
In its filing exchange, the reason for the increase in cash burn was cited as customer acquisition programs’ expenses along with other advertisements. The company will continue to invest in its marketing for the next two years, intending to grow market share.
The company which recently secured $180 million from China’s Ctrip, expects to increase its net revenue by 25-30% in fiscal year 2017.
