Ixigo’s bus business, AbhiBus, which holds a 13-14% market share among online travel aggregators (OTAs), is positioned for significant growth. While Ixigo’s train ticketing remains its primary revenue source, the bus segment is experiencing double-digit growth, with bus ticketing revenue rising to ₹39.6 crore in Q1FY25 from ₹35.9 crore in Q1FY24. The gross transaction value (GTV) for the bus segment grew by 16% year-on-year.
With only 20% of bus tickets sold online, Ixigo sees a large untapped market and plans to outpace the projected 18% market growth. The acquisition of AbhiBus in 2021 helped Ixigo expand into smaller towns and cities, covering over 350,000 routes with 4,000 bus partners. The company is also capitalizing on the growing demand for spiritual travel and the premium bus market, driven by improved road quality and tech-enabled services like real-time tracking.
Ixigo’s investment in electric buses, including a ₹26 crore stake in FreshBus, signals its focus on future growth. The company’s overall financial performance has been strong, with a 78% increase in profit after tax (PAT) to ₹14.85 crore in Q1FY25 and a 16% rise in revenue to ₹181.87 crore.
Source : https://www.financialexpress.com/business/express-mobility-ixigo-sees-bus-business-as-a-growth-leader-in-coming-years-3605028/
