TBO Tek Ltd. share price target

TBO Tek reported a strong performance in Q1FY27, despite macro uncertainties affecting some of its key markets. Revenue grew 81% YoY to INR 9.3bn, with organic revenue growth at 16%.

TBO Tek maintained a steady business trajectory in Q1FY27 with GTV growing by ~37.4% y/y (up 30% in CC terms) to ~Rs111.5bn, led by consolidating GTV growth of Hotels & Ancillaries (~49.8% y/y) and Airlines (~16.9% y/y).

TBO Tek reported a resilient 1QFY27 performance, with revenue rising 81% YoY to INR9,258m (est: INR8,228m), aided by the consolidation of Classic Vacations.

TBO Tek reported a resilient 4QFY26 performance despite geopolitical disruptions across key travel corridors. Revenue jumped 83% YoY to INR8.14b (est. INR7.06b), aided by the consolidation of Classic Vacations, while organic revenue grew 21% YoY to INR5.42b.

TBO Tek’s organic business maintained a steady trajectory in Q4FY26 with GTV rising by ~16% y/y to ~ Rs90bn. While GTV grew by a strong ~27% y/y in Jan and Feb, disruption was seen in Mar, led by Middle East conflicts with Hotels & Ancillaries/Airlines GTV growth of ~ 20.4/9.4% y/y.

TTL delivered a strong 9MFY26, with revenue of 1,863cr (up ~44% YoY) driven by resilient core B2B demand and Classic Vacations' (recent acquisition) contribution. PAT rose to 184cr (8%YoY) despite integration costs. In Q3FY26 GTV grew 35% YoY to 9,709cr, while EBITDA to-GTV improved to 1.18%, supported by scale benefits...

TBOTEK is a technology-driven B2B travel platform that connects over 750 airlines, more than 1m hotels, and travel buyers worldwide.

TBO Tek is well-placed for continued growth in the global travel distribution market with the acquisition of Classic Vacations (integrated in Oct-25) adding to its capabilities.

Amid broader macro headwinds (incl. Indo-Pak border tension, the Air India crash and Israel-Iran conflict) affecting travel sentiment, TBO Tek’s Q1 GTV grew ~2.3% y/y to ~Rs81.2bn and its blended take-rate expanded ~100bps y/y to ~6.3% due to the increasing tilt toward highmargin hotels & ancillaries.

TBO Tek’s overall GTV grew 3.7% y/y to Rs77.9bn due to slight impact from Ramadan-induced seasonality in Mar’25 and full consolidation of Jumboonline.

TBO Tek’s H1 FY25 revenue grew ~24.7% y/y to ~Rs8.7bn (organic growth ~17.1% y/y). The overall take rate rose from ~5.2% in H1 FY24to ~5.5%, with monthly transacting buyers growing ~6.8% y/y to 28,252.

Issue Snapshot: Issue Open: May 08 May 10, 2024 Price Band: Rs. 875 920 *Issue Size: Up to Rs. 1550.81 cr (Fresh issue of upto Rs.400 cr + Offer for sale of 12,508,797 eq sh including employee reservation aggregating upto Rs.3 cr) Reservation for: QIB atleast 75% eq sh Non-Institutional upto 15% eq sh ((including 1/3rd for applications between Rs.2 lakhs to Rs.10 lakhs)) Retail upto 10% eq sh Face Value: Rs 1 Book value: Rs 49.31 (December 31, 2023) Bid size: - 16 equity shares and in multiples thereof 100% Book built Issue IPO Note-TBO TEK Limited

IPO NOTE