OYO Q1 FY26 Results: Exceptional Quarter Sets the Stage for IPO Success
When I first started following OYO’s journey years back, the story was all about hypergrowth—thousands of hotels being added, international markets being tested, and a constant buzz about “the next big thing” in hospitality-tech. But fast forward to Q1 FY26, and the headlines are quite different: profitability, discipline, and focus. Let’s unpack what stood out in OYO’s latest quarterly results.
Big Picture: Numbers That Speak
- Revenue: ₹2,019 crore, up 47% from last year’s ₹1,371 crore. That’s one of the strongest topline jumps we’ve seen in recent years.
- Profit After Tax (PAT): More than doubled to ₹200 crore, compared to ₹87 crore in Q1 FY25.
- EBITDA: ₹550 crore, a 3.3x jump (+231% YoY), showing efficiency gains are real and not just on paper.
- Gross Booking Value (GBV): Surged 144% to ₹7,227 crore, proving customer demand is not slowing down.
These aren’t just accounting wins—they show a company that’s learning to grow smart, not just grow fast.
Segment-Wise Breakdown of OYO Q1 FY26 Results
1. Hotels:
This was the star performer. Hotel GBV shot up 221% YoY to ₹5,939 crore, while revenue rose 58% to ₹1,576 crore. Much of this came from OYO’s bet on mid-premium and premium brands—Townhouse, Townhouse Oak, and Sunday hotels. These aren’t your typical budget stays; they’re targeting upwardly mobile travelers who want reliability with a touch of comfort.
2. Homes:
Growth here was steadier but still healthy. GBV was up 16% to ₹1,288 crore, and revenue rose 20% to ₹443 crore. This segment benefits from longer stays and family bookings, which remain resilient.
3. Innov8 (Co-working arm):
An often-overlooked piece of OYO, Innov8 expanded to 49 centers by July 2025. Revenue climbed 55% to ₹37 crore, and EBITDA nearly tripled (+189%) to ₹7.5 crore. With a 25% margin, Innov8 has quietly become one of India’s most profitable workspace brands.
Why The Results Matter
What makes these results stand out is not just the topline growth, but the shift to profitable scaling. OYO reduced operating costs as a percentage of GBV and leaned into premium offerings, which deliver higher margins and better customer ratings.
The company also expanded its supply base—hotel storefronts grew from 17,000 to 22,000 (+29%), and homes listings jumped from 86,000 to 124,000 (+44%). This helped drive record bookings.
Looking Ahead: IPO on the Horizon
The strong OYO Q1 FY26 Results come as the company gears up for its planned IPO in the second half of FY26. To reward shareholders and improve liquidity, OYO has already proposed a 1:1 bonus share issue.
Strategically, the focus remains on:
- Growing in India and Southeast Asia.
- Expanding premium hotels for higher yields.
- Leveraging technology for customer retention.
- Keeping profitability at the core of growth.
Final Word
The OYO Q1 FY26 Results confirm a turnaround story. Once known for chasing rapid expansion, OYO is now proving that profitable growth is possible. With its IPO around the corner, this quarter could well be remembered as the one that set the stage for OYO’s next big leap.
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