Earnings Miss: Easy Trip Planners Limited Missed EPS By 6.1% And Analysts Are Revising Their Forecasts

The full-year results for Easy Trip Planners Limited (NSE:EASEMYTRIP) were released last week, making it a good time to revisit its performance. It looks like the results were a bit of a negative overall. While revenues of ₹4.6b were in line with analyst predictions, statutory earnings were less than expected, missing estimates by 6.1% to hit ₹0.77 per share. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

See our latest analysis for Easy Trip Planners

Taking into account the latest results, the consensus forecast from Easy Trip Planners' two analysts is for revenues of ₹6.24b in 2024, which would reflect a huge 35% improvement in sales compared to the last 12 months. Per-share earnings are expected to jump 42% to ₹1.10. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹7.09b and earnings per share (EPS) of ₹1.16 in 2024. It looks like sentiment has fallen somewhat in the aftermath of these results, with a substantial drop in revenue estimates and a minor downgrade to earnings per share numbers as well.

Despite the cuts to forecast earnings, there was no real change to the ₹56.33 price target, showing that the analysts don't think the changes have a meaningful impact on its intrinsic value.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. The period to the end of 2024 brings more of the same, according to the analysts, with revenue forecast to display 35% growth on an annualised basis. That is in line with its 34% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 15% per year. So although Easy Trip Planners is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Easy Trip Planners. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At least one analyst has provided forecasts out to 2026, which can be seen for free on our platform here.

Even so, be aware that Easy Trip Planners is showing 2 warning signs in our investment analysis , and 1 of those is concerning...

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.