TBO Tek Limited, a leading global travel distribution platform, has reported robust growth across its key markets for the quarter ended September 30. The company's performance highlights a strong recovery from the previous quarter's macro headwinds, with significant momentum observed in Europe, Middle East and Africa (MEA), and Asia-Pacific (APAC) regions.

Financial Highlights

• Revenue from operations increased by 26% year-over-year to ₹5,675.10 crore
• Gross Transaction Value (GTV) grew by 12% year-over-year to ₹8,901.00 crore
• Adjusted EBITDA before acquisition-related costs stood at ₹104.00 crore, up 16% year-over-year
• Profit After Tax (PAT) rose by 12.4% year-over-year to ₹68.00 crore

Regional Performance

Europe

Europe remained TBO TEK's largest source market for Hotel and Ancillary business, demonstrating a strong 20% year-over-year growth in GTV. The region's performance was led by high-potential markets such as Spain, France, Germany, Italy, and Israel.

Middle East and Africa (MEA)

The MEA region delivered impressive results with Hotels and Ancillary GTV growing 27% year-over-year to ₹1,600.00 crore. Growth was primarily driven by GCC markets, particularly the UAE, Qatar, and Kuwait.

Asia-Pacific (APAC)

APAC emerged as the fastest-growing region for TBO TEK, with Hotels and Ancillary GTV surging 41% year-over-year to ₹523.00 crore. The company expanded its presence in markets such as Singapore, Hong Kong, Philippines, Thailand, and Malaysia.

India

The India business showed signs of stabilization, marking a complete arrest of the headline degrowth trend. The Hotels and Ancillaries segment in India grew by 4% year-over-year to ₹518.00 crore, indicating healthy underlying demand.

Operational Metrics

Strategic Developments

During the quarter, TBO TEK announced the agreement to acquire 100% equity stake in Classic Vacations for $125 million. The acquisition, completed on October 1, is expected to strengthen TBO TEK's position in the premium outbound segment and expand its presence in the U.S. luxury travel market.

Management Commentary

Mr. Ankush Nijhawan, Co-founder and Joint MD of TBO TEK Limited, stated, "Our growth this quarter was broad-based across regions, led by strong momentum in international markets and early signs of stabilization in India. With Hotels and Ancillaries continuing to deepen their contribution and operating leverage beginning to play through, we are confident of sustaining profitable growth and strengthening the foundation for long-term value creation."

Mr. Gaurav Bhatnagar, Co-founder and Joint MD, added, "This quarter's performance reflects both the strength of our model and the discipline of execution. Growth was broad-based, profitability improved, and the business showed clear signs of structural operating leverage. With the KAM expansion nearing completion and Classic Vacations now part of the platform, we enter the next phase with sharper focus, stronger fundamentals, and a wider global footprint."

As TBO TEK continues to expand its global presence and enhance its service offerings, the company appears well-positioned to capitalize on the recovering travel market and drive sustainable growth across its key regions.

Note: All financial figures are in Indian Rupees (₹) unless otherwise stated.

TBO Tek Limited , a global travel distribution platform, has announced the completion of a significant acquisition in the US luxury travel market. The company has successfully acquired 100% ownership of Classic Vacations, LLC for $125.00 million, marking a strategic move to strengthen its presence in the premium travel sector.

Acquisition Details

The acquisition was executed through TBO Tek's wholly owned subsidiary, TBO LLC. To finance the deal, the company utilized a combination of funding sources:

• Inter-corporate loans
• Internal accruals
• Credit facilities backed by corporate guarantees

Classic Vacations: A Luxury Travel Powerhouse

Classic Vacations brings a wealth of experience and market presence to TBO Tek:

• Over five decades of legacy in the US luxury travel market
• Serves more than 10,000 travel advisors
• Specializes in premium white-glove service across various travel segments:
  • Hotels
  • Air travel
  • Experiences
  • Car rentals
  • Travel protection

Operational Continuity

TBO Tek has emphasized that Classic Vacations will maintain its operational independence:

• The company will continue to operate as an independent brand
• Melissa Krueger will remain as CEO
• The existing leadership team will be retained

This approach aims to preserve Classic Vacations' established market position and client relationships while benefiting from TBO Tek's global network.

Strategic Implications for TBO Tek

The acquisition aligns with TBO Tek's broader strategic vision:

• Aims to become one of the largest global travel-tech platforms
• Expands TBO's presence in the premium outbound travel market
• Enhances the company's service offerings in the luxury travel segment

TBO Tek's Global Reach

TBO Tek operates a vast travel distribution platform:

• Connects over 159,000 travel buyers
• Links with 1 million travel suppliers
• Operates across more than 100 countries

This extensive network positions TBO Tek as a significant player in the global travel technology landscape.

The acquisition of Classic Vacations represents a major step for TBO Tek in expanding its market reach and service capabilities in the high-value luxury travel sector, particularly in the United States. By maintaining Classic Vacations' brand identity and leveraging its established reputation, TBO Tek is poised to strengthen its position in the global travel market while enhancing its offerings in the premium travel segment.