The company, the largest in the segment, currently manages 1,000 properties across the country and plans to expand its portfolio to 2,500 villas in two and a half years.
The company generated revenues of Rs 140 crore in FY24 after which it became Ebitda positive by generating revenues of Rs 42.2 crores and a net profitability of Rs 1 crore in the first quarter of FY25, she said. The co-founder of StayVista, Mr. Amit Damani, shared, “We are highly efficient about our capital in the last seven years, and reports indicate that the end of FY2024 will be around revenue of INR 196 crore and a profit of INR 4 crore.”
“The trend of short-haul trips on a long weekend or for celebrations is seeing higher occupancy in the category,” he said.
While occupancy levels are much lower than those of hotels, on average, they stay at 35 percent but shoot up to 80 percent on weekends. Getaway destinations from metros—Kasauli from Delhi, Lunula near Mumbai, Coorg near Bengaluru and Goa—are the company’s largest markets.
“We want to enhance and expand our network further in the country. We see a lot of progress in markets like Uttarakhand, Himachal, and Kashmir where we want to increase our supply,” he said.
“Besides, we are looking at markets like wildlife destinations and pilgrim destinations. We launched last year in Varanasi and the occupancy there is more than all our other properties, so that’s what we want to focus on,” Damini added. The company is seeing locations such as Tirupati and Ayodhya, and Rishikesh, and wildlife destinations like Ranthambore, Bandhavgarh, and Kanha National Park among others.
“These places are also very apt for weddings and corporate events, for which we are looking into larger properties – a cluster of three to five cottages – which gives us a larger inventory to host bigger events,” said Damini.
According to Statista, the Indian vacation rental market is estimated to reach $2.12 billion by 2024 and increase further at an annual rate of 8.72 percent until it reaches $3.22 billion in 2029.
“Home stays is an emerging category that’s really showing a lot of promise, and I see it growing at compounded annual growth rate of 30-40 percent for the next three-four years,” said Mr Rajesh Magow, Co-founder and Group Chief Executive Officer, MakeMyTrip.
He suggests that it is the time to capitalize on the growth opportunity by consolidating the company’s presence in the largest markets and to step into new domestic geographies.
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