ixigo's Stumble, Zing Pivots & More

ixigo Loses Steam

ixigo staggered in Q2 FY26. The online travel aggregator (OTA) slipped into the red during the quarter, despite healthy revenue growth, due to one-time ESOP expenses of INR 27 Cr and a broader lull in the travel segment.

Here is a quick snapshot of ixigo’s Q2 FY26 numbers:

• It posted a loss of INR 3.5 Cr as afgainst a profit of INR 13.1 Cr in Q2 FY25
• Operating revenue rose 36% YoY to INR 282.7 Cr
• Adjusted EBITDA, excluding ESOP expenses, improved 36% YoY to INR 28.5 Cr
• Total expenses surged 51% YoY to INR 290.4 Cr

Strong Fundamentals: Beyond the losses, ixigo continued to see healthy momentum across all its verticals. While the train segment continued to dominate numbers, flight and bus ticketing emerged as growth stars and profit centres. Overall, gross transaction value soared 23% YoY to INR 4,347.5 Cr in Q2, signalling improving user engagement.

Trouble In Paradise: In the words of ixigo cofounder and CEO Aloke Bajpai, a ‘tough’ environment and ‘de-growth’ across the entire travel ecosystem played spoilsport for the company in Q2. And he isn’t wrong. OTAs are wrestling with competition, slower demand, rising operating costs and margin compression.

Rival MakeMyTrip, too, incurred a lossof $5.7 Mn (INR 50 Cr) in Q2 due to finance costs from its recent capital raise.

On A Tightrope: Nevertheless, ixigo has much lined up for it. Buoyed by its upcoming INR 1,200 Cr infusion from Prosus, the OTA aims to leverage AI and strategic acquisitions to strengthen its overall ecosystem. But, balancing growth with short-term profitability pressures will be key to its future trajectory. For now, here is how ixigo fared on the financial front in Q2.

From The Editor’s Desk Zing Abandons Quick Food Delivery Ship

• The startup has shut down its quick food delivery operations after struggling with high inventory costs, intense competition, and failing to raise a crucial follow-on funding round.
• Founded in 2024, Zing saw healthy early traction with 150 daily orders and rapid revenue growth, but high capex and logistics challenges proved unsustainable, mirroring struggles faced by players like Zepto Cafe and Zomato’s Quick.
• The startup now plans to pivot to quick commerce delivery of perishable products, aiming for 30-minute deliveries in Gurugram.

Storm Brewing At Bira 91

• Amid a severe cash crunch and mounting loan defaults, lenders Kirin Holdings and Anicut Capital have taken control of the alcobev giant’s cafe chain, The Beer Cafe.
• Forced by regulatory rules to convert to a “public” entity, B9 Beverages had to undergo a name change. This disruption forced the company to seek licences afresh from each state, paralysing its operations for six months.
• This compliance upheaval has led to layoffs, board resignations, cash crunch woes, a production halt, pending salaries, and a leadership churn, which has threatened Bira 91’s stability and pushed the company to seek fresh funding to revive operations.

PB Fintech’s Q2 Profit Run

• The insurtech major saw its net profit surge 165% YoY to INR 134.9 Cr in Q2 FY26 on the back of a 38% YoY revenue jump to INR 1,613.6 Cr and margin improvement. This was one of its strongest quarters for the company since its listing in 2021.
• The company kept expenses controlled (up 28% YoY) despite rising business scale, resulting in a 180% YoY surge in adjusted EBITDA to INR 156 Cr and EBITDA margin doubling to 10%.
• This comes five months after PB Fintech raised INR 1,800 Cr to foray into the healthcare segment and establish its hospital network in Delhi NCR. However, brokerages expressed caution, arguing that it would mark a departure from its asset-light model.

boAt Preps For INR 1,500 Cr IPO

• The consumer electronics startup’s parent, Imagine Marketing, has filed its updated DRHP with SEBI to raise Rs 1,500 Cr via IPO. Its public offer will comprise a fresh issue of INR 500 Cr and an OFS of INR 1,000 Cr.
• Founded in 2013, boAt has a diversified portfolio spanning audio gear and smart wearables. It scaled rapidly in the past decade and today commands a 34% share in India’s wearables market by volume.
• Despite a minor revenue dip of 1.4% YoY to INR 3,073 Cr in FY25, boAt swung back to the black with a profit of INR 61 Cr. In Q1 FY26, the company clocked an operating revenue of INR 628.1 Cr against a profit of INR 21.4 Cr.

Snitch’s 60-Minute Fashion Makeover

• The D2C menswear brand is piloting a 60-minute apparel delivery service in Bengaluru. Snitch plans to expand the service nationwide by early 2026 by leveraging its retail stores as fulfilment hubs to meet the rising demand for instant fashion.
• Founded in 2019, Snitch began as an offline fashion startup but pivoted online during the pandemic. It sells a diverse range of apparel via its website, physical stores, and online marketplaces.
• Snitch’s quick commerce experiment pits it directly against giants such as Myntra and AJIO, as well as emerging players like Slikk, KNOT and NEWME.

Inc42 Markets

Inc42 Startup Spotlight Can Airbound Be India’s Backbone For Air-Borne Logistics?

India faces significant challenges in healthcare delivery, especially in rural and remote areas. Enter Bengaluru-based drone startup Airbound, which is revolutionising medical deliveries by promising precise, rapid transport of critical healthcare supplies.

Innovation In The Skies: Founded in 2023, Airbound has developed lightweight, VTOL drones that are more aerodynamically efficient than conventional quadcopters. These UAVs are designed to deliver blood samples, test reports, and vital medicines directly to hospitals and remote regions.

The Tech Edge: Airbound claims that its drones require significantly lower thrust to carry payloads, enabling deliveries at a cost of around INR 24 per trip. The company aims to reduce this to INR 1 in the near future. Their proprietary aircraft control software, RUDRA, also enables a single pilot to operate over 100 drones simultaneously. The startup’s drone fleet recently completed a successful pilot with Narayana Health, conducting 10 daily deliveries.

Aiming For The Skies: Backed by Lightspeed Ventures, the startup aims to transform healthcare accessibility and is targeting both domestic and global expansion. However, regulatory approvals and operational scaling remain challenges.

With an eye on trillion deliveries a day in the distant future, can Airbound emerge as the frontrunner in India’s emerging drone logistics ecosystem?

Infographic Of The Day

From social commerce to IPO star — Meesho’s INR 6,000 Cr leap shows how Bharat’s ecommerce king built scale, affordability, and resilience.

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