IRCTC: mass tourism take off, very good sign for the industry: Rajni Hasija, IRCTC
ET Now: Your business posted strong profits compared to the loss in the same quarter last year. Could you share the highlights of the company’s performance?
Rajni Hasija: The Covid has been really tough on the hospitality industry. We are as affected as the others. All of our segments have shown an impact, with the exception of Internet ticketing, where we are still doing very well.
If you compare this quarter with the quarter ended, then our results are not very fragile. But if you compare with the corresponding quarter of the previous year, then we did very well.
A few segments that posted losses in the first quarter of the previous year have now finished well. For example Rail Neer. Catering represented around 45% of our revenue before Covid; this time its contribution is around 23%. There we earned around Rs 56 crore. In Rail Neer we earned around Rs 29 crore.
Internet ticketing is the main source of income, contributing 61% of our income. Tourism also contributed a little despite the fact that April and May were very bad.
There is a lot of uncertainty about a third wave. What are the sales and margin prospects for the rest of the year?
With the increase in vaccinations, the IRCTC team is ready to face the situation. I am happy that things are improving on all fronts. Our revenues from all segments are now improving.
Rail Neer’s production has increased. Our production capacity is much more than it was during the Covid. Now we have almost reached about 45% of our production level. In tourism, our first Bharat Darshan train successfully completed its journey without any problems, which is a very good sign for the industry.
Mass tourism is taking off and our new tourism products like Char Dham express in the luxury segment are all sold out. The same goes for all our packages for Leh, Ladakh.
Any ideas on consumer behavior? What are the destinations where you see large ticket bookings after reopening?
During the second wave, only travel as needed occurred. Now there is a constant change because people have started to move again.
Sightseeing packages are selling well and a few hilly terrain packages have sold at full capacity. Kerala is not doing well, but Ladakh and Kashmir are taking off well. Globally, ticket reservations are accelerating.