SoftBank-backed Oyo Rooms’ net loss narrows in FY21, revenue dips 54%

OYO in Manali, India. Photo: OYO Rooms

 Oravel Stays Limited, operator of hospitality brand Oyo Rooms which has a network of budget hotels, reported a 54% year-on-year decline in revenue for fiscal 2020-21 to 89 crore.

The company reported a net loss of 241 crore during the fiscal, lower than 326 crore in FY20.

As per information filed with the Registrar of Companies, Ministry of Corporate Affairs, Oravel Stays’ operating revenue in FY21 was down to 11.81 crore from 36.29 crore a year ago. In 2018-19, its operating revenue stood at 35.95 crore. The data was accessed via business intelligence platform Tofler.

On 1 October, the hotel-booking startup filed draft red herring prospectus with market regulator Securities and Exchange Board of India (Sebi) for a  8,430 crore ($1.1 billion) initial public offering (IPO).

The initial share sale comprises fresh issue of equity shares aggregating up to 7,000 crore and offer for sale to the tune of 1,430 crore.

In the past, Oyo rooms has been accused of using predatory pricing and not following through on its pre-signed agreements. The company has also been accused of unilaterally changing rules for partner hotels and threats of legal action for declining bookings.

The article was first published on livemint.com.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.