RateGain Travel Technologies Limited has announced its unaudited financial results for the second quarter and half year ended September 30, 2025, revealing a mixed performance with revenue growth accompanied by a decline in profitability. The company has also completed a significant acquisition.

Financial Performance

The company reported a year-over-year increase in revenue for Q2:

Despite the revenue growth, RateGain experienced a decline in profitability:

Key Highlights

• The company's revenue increased by 6.4% year-over-year, reaching ₹2,950.50 million in Q2 FY2026.
• EBITDA decreased by 11.1% to ₹535.00 million, compared to ₹602.00 million in the same quarter last year.
• The EBITDA margin compressed by 351 basis points, from 21.71% to 18.20%.
• Consolidated net profit saw a slight decrease of 2.3%, from ₹522.07 million to ₹510.12 million.

Corporate Actions and Developments

• The Board of Directors approved the results in a meeting held on November 11, 2025.
• RateGain operates in the information technology services segment, providing solutions to clients in the hospitality and travel industry.
• The company completed the acquisition of Sojern Inc., a US-based AI-powered hospitality and travel marketing platform company, for USD 250 million on November 8, 2025. The acquisition was funded through a secured term loan of USD 125 million and internal funds of USD 125 million.
• RateGain's Nomination and Remuneration Committee approved the grant of 2,817 Stock Appreciation Rights (SARs) under the "RateGain - Stock Appreciation Rights (SAR) Scheme – 2022" on November 10, 2025. The SARs were granted at a price of ₹649.00 per SAR Unit, with a vesting period of 4 years and an exercise period of 3 years from the date of vesting.

Investors and analysts may want to monitor how RateGain addresses the profitability challenges while continuing to grow its revenue in the coming quarters. Additionally, the impact of the Sojern acquisition on the company's future performance will be an important factor to watch.

RateGain Travel Technologies Limited , a leading provider of SaaS solutions for travel and hospitality, has announced a significant expansion of its employee incentive program. The company's Nomination and Remuneration Committee approved the grant of 19,535 Stock Appreciation Rights (SARs) units on December 17, 2025, under the "RateGain - Stock Appreciation Rights (SAR) Scheme – 2022" (SAR-2022).

Grant Details and Structure

The latest SAR grant comprises three separate tranches with different pricing structures:

Vesting and Exercise Terms

All three tranches follow identical vesting and exercise parameters:

Understanding Stock Appreciation Rights

Stock Appreciation Rights are a form of equity compensation that allows employees to benefit from the appreciation in the company's stock price without actually owning the shares. When exercised, the holder receives the increase in the stock's value from the grant date to the exercise date, usually paid in cash or shares.

Strategic Implications

This substantial SAR grant, totaling over Rs. 1.31 crores in notional value, demonstrates RateGain's commitment to attracting and retaining talent in the competitive travel technology sector. The four-year vesting schedule encourages long-term employee retention, while the three-year exercise period provides flexibility for employees to benefit from potential stock price appreciation.

Regulatory Compliance

RateGain has made this announcement in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The SAR scheme is also subject to the provisions of the SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021, ensuring transparency and adherence to regulatory standards.

As the travel industry continues to evolve, RateGain's expanded investment in its human capital through such equity-based compensation plans may play a crucial role in maintaining its position as a leading SaaS provider in the travel and hospitality sector.