(WTICAB) WTI Cabs Maintains Steady Growth and Margins in Q2 FY27
Wise Travel India posted a 29% rise in revenue and a 33% jump in profit for the September quarter, holding its net profit margin steady.
Wise Travel India (WTI Cabs) reported a 29.2% year-on-year revenue increase to ₹490 crore in Q2 FY27. Profit grew 32.7% to ₹18.7 crore, with the net profit margin holding at 3.8%.
For Wise Travel India, the corporate mobility specialist, the September quarter was about maintaining momentum. The company delivered another period of strong top-line growth, but the real story is the discipline that kept profitability intact despite rising costs.
The numbers show a business in a steady climb. Revenue reached ₹490.3 crore, up 29% from a year ago and 10% from the prior quarter. Profit followed a similar path, rising 33% year-on-year to ₹18.7 crore. The net profit margin held firm at 3.8%, a slight 10-basis-point improvement from last year.
Revenue & profit
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin (%)
| Metric | CurrentQ2 FY27 | Same quarter LYQ2 FY26 |
|---|---|---|
| Revenue (₹ Cr) | 490.26YoY +29% | 379.57 |
| Profit (₹ Cr) | 18.72YoY +33% | 14.11 |
| Net Profit Margin (%) | 3.8YoY +2.7% | 3.7 |
The cost of scaling up
Growth came with its own pressures. Employee costs surged nearly 49% year-on-year, a move the company links to expanding its team for new business lines. Interest expenses also rose 17%, reflecting the higher borrowings needed to fund its fleet expansion. According to Business Standard, the company is targeting a massive owned fleet increase to 12,000-15,000 vehicles by 2029.
Despite these rising costs, the margin held. Profit grew slightly faster than revenue, suggesting some operating leverage. The tax expense saw a sharp sequential jump, which the company attributed to the timing of provisions and the higher profit before tax.
The runway ahead
Management's guidance, as reported in the earnings call, points to continued confidence. The company expects full-year FY27 revenue growth in the 30-35% range. It also plans to add at least 1,000 cars to its owned fleet this year, funded by a mix of internal accruals and debt.
The long-term ambition is even bolder. CEO Ashok Vashist told Business Standard the company is targeting annual revenue of ₹5,000-7,000 crore within five years. This will be driven by expanding managed services for corporates, entering the self-drive rental market in FY28, and scaling international operations, starting with London.
Key Points
- Revenue grew 29% year-on-year to ₹490 crore, maintaining a strong sequential growth rate of nearly 10%.
- Profit increased 33% to ₹18.7 crore, with the net profit margin holding steady at 3.8% despite rising employee and interest costs.
- Management is guiding for 30-35% revenue growth in FY27 and plans significant fleet expansion, targeting an owned fleet of 12,000-15,000 vehicles by 2029.
- The company trades at a P/E of 8.2, a significant discount to its industry average, reflecting its capital-intensive growth model.
Hexa Perspective
Wise Travel India's quarter confirms it is executing on its growth plan, but the path is capital-heavy. The steady margin is a positive sign of operational control, yet it remains thin. The substantial discount to the industry P/E suggests the market is weighing the cash required for fleet expansion against the promise of future scale.
The next few quarters will test whether revenue growth can outpace the rising depreciation and interest from new vehicles. The bet is that owned fleet growth will eventually drive better margins and cash flow. For now, the story is one of disciplined scaling, where growth is clear but the full payoff is still down the road.
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