Yatra Online Limited Just Missed Earnings And Its Revenue Numbers Were Weaker Than Expected

Investors in Yatra Online Limited (NSE:YATRA) had a good week, as its shares rose 3.1% to close at ₹99.91 following the release of its full-year results. Results look mixed - while revenue fell marginally short of analyst estimates at ₹7.9b, statutory earnings were in line with expectations, at ₹2.33 per share. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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Taking into account the latest results, the most recent consensus for Yatra Online from five analysts is for revenues of ₹9.91b in 2026. If met, it would imply a sizeable 25% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to leap 48% to ₹3.45. Before this earnings report, the analysts had been forecasting revenues of ₹11.3b and earnings per share (EPS) of ₹3.68 in 2026. Indeed, we can see that sentiment has declined measurably after results came out, with a real cut to revenue estimates and a small dip in EPS estimates to boot.

View our latest analysis for Yatra Online

The analysts made no major changes to their price target of ₹129, suggesting the downgrades are not expected to have a long-term impact on Yatra Online's valuation. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Yatra Online, with the most bullish analyst valuing it at ₹155 and the most bearish at ₹105 per share. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. It's clear from the latest estimates that Yatra Online's rate of growth is expected to accelerate meaningfully, with the forecast 25% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 14% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 17% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Yatra Online is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. The consensus price target held steady at ₹129, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Yatra Online. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Yatra Online going out to 2028, and you can see them free on our platform here..

That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 1 warning sign with Yatra Online , and understanding it should be part of your investment process.

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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.