RateGain’s Sojern integration takes customers to 14,538

RateGain Travel Technologies Limited reported 14,538 customers in H1FY2027 after adding customers through the Sojern acquisition, while its MarTech segment grew 319.8% year on year. Customer count increased from 13,410 in FY2026, and management said its H2 FY2027 priority is to take the combined RateGain and Sojern platform to more customers.

How did the Sojern acquisition change RateGain’s customer scale?

RateGain’s reported customer count reached 14,538 in H1FY2027, compared with 13,410 in FY2026, after customers were added with the Sojern acquisition. This was an increase of 1,128 customers from the FY2026 figure. The rise followed a larger increase in the preceding year, when customer count moved from 3,224 in FY2025 to 13,410 in FY2026.

RateGain reported 1,244 employees in H1FY2027, up 42.8% year on year, alongside the larger customer base. Revenue per employee was Rs 2.5 crore, an 81.6% year-on-year increase that the company linked to integrating Sojern. These measures show the acquisition’s presence in both the reported customer footprint and operating metrics.

Which RateGain segment grew fastest in H1FY2027?

MarTech was RateGain’s fastest-growing segment in H1FY2027, with 319.8% year-on-year growth, versus 13.9% for data-as-a-service, or DaaS, and 2.2% for Distribution. The 317.6-percentage-point gap between MarTech and Distribution shows that growth differed substantially across the three reported segments during the half year.

RateGain reported operating revenue of Rs 1,530.4 crore in H1FY2027, up 169.5% year on year. Adjusted earnings before interest, tax, depreciation and amortisation, or adjusted EBITDA, rose 250.9% to Rs 362.5 crore, equal to a 23.7% margin. The company said EBITDA and profit after tax were adjusted for deferred deal consideration related to the Sojern acquisition, an expense to be incurred for three years ending Q3FY2029.

The second quarter showed a similar consolidated pattern: Q2 FY2027 operating revenue grew 152.6% year on year to Rs 745.4 crore, while adjusted EBITDA increased 215.4% to Rs 169.1 crore. Adjusted profit after tax rose 78.0% to Rs 90.8 crore. Adjusted EBITDA grew faster than revenue in both Q2 and H1, although the presentation does not disclose revenue values for MarTech, DaaS or Distribution.

How was RateGain’s H1FY2027 revenue mix distributed?

Transaction-based engagement generated 78.5% of RateGain’s H1FY2027 revenue from contracts with customers, while subscriptions accounted for 7.5% and hybrid arrangements for 14.0%. Transaction revenue exceeded subscription and hybrid revenue combined by 57.0 percentage points, making it the largest reported engagement model.

By industry, hospitality supplied 48.6% of H1FY2027 revenue and destination marketing organisations, or DMOs, supplied 30.9%. Online travel agencies accounted for 7.2%, airlines for 3.7%, car rentals for 2.3%, and other industries for 7.3%. Hospitality and DMOs together made up 79.5% of the reported industry mix.

North America accounted for 63.7% of H1FY2027 revenue, followed by Europe at 21.5%, Asia Pacific at 12.3% and other markets at 2.5%. RateGain’s top 10 customers represented 18.7% of revenue, while all other customers contributed 81.3%. The presentation therefore shows geographic concentration in North America but a revenue contribution spread beyond the 10 largest accounts.

Are retention and sales efficiency changing as RateGain integrates Sojern?

RateGain’s retention table shows net revenue retention, or NRR, of 103.5 in H1FY2027, compared with 99.6 in FY2026 and 100.5 in FY2025. The company defines NRR as increased revenue in SaaS and Distribution from the same clients compared with the previous fiscal year. Its gross revenue retention measure denotes renewed SaaS and Distribution revenue compared with the previous fiscal year.

The lifetime-value-to-customer-acquisition-cost ratio, or LTV:CAC, was 10.2 times in H1FY2027, compared with 12.8 times in FY2026 and 14.1 times in H1FY2026. RateGain calculates lifetime value by multiplying gross margin from new sales by expected contract life, while customer acquisition cost includes total sales and marketing costs. NRR moved above 100 in H1FY2027, while LTV:CAC was below both comparison periods.

RateGain also reported Rs 277.7 crore of new contract wins and a total pipeline of Rs 660 crore in H1FY2027. Free-cash-flow conversion was 87.0%, while net cash and equivalents were Rs 239.2 crore and net debt was Rs 494.0 crore. The presentation does not state what proportion of the contract wins, pipeline or cash-flow conversion arose from Sojern, so those measures cannot be assigned to a specific segment.

What are RateGain’s next integration priorities?

RateGain management said its H2 FY2027 priority is to bring the full RateGain and Sojern platform to more customers and execute well. Chairman and Managing Director Bhanu Chopra said the company is focused on adding customers, increasing the use of its platform by each customer, and extending artificial intelligence, or AI, into daily work. These are management priorities rather than quantified revenue or customer targets.

The H1FY2027 presentation listed several product and commercial developments across the platform. Vietnam Airlines selected RateGain to support its position across international markets, while VIETJET QAZAQSTAN selected AirGain for real-time competitive fare intelligence across key routes. RateGain also announced a partnership with Duetto for autonomous, real-time revenue optimisation for hotels, while Sojern expanded its relationship with La Quinta Inn on Property Commission for a portfolio of properties.

In destination marketing, Sojern convened its second annual European Destination Advisory Board with DMO leaders in Athens. The presentation also said SoHo used AI-powered creatives and targeted messaging to generate 235 times return on investment and win a Silver award at the HSMAI Awards. These examples identify applications for the broader platform, but the presentation does not disclose their direct revenue contribution in H1FY2027.

Conclusion

RateGain’s H1FY2027 presentation links the Sojern acquisition with a reported customer base of 14,538, MarTech growth of 319.8% and consolidated operating-revenue growth of 169.5%. Transaction revenue remained the dominant engagement model at 78.5%, while hospitality and DMOs accounted for 79.5% of industry revenue and North America supplied 63.7% of geographic revenue.

The next measure to watch is execution of management’s H2 FY2027 plan to extend the full RateGain and Sojern platform to more customers. The presentation also identifies a Rs 660 crore pipeline and Rs 277.7 crore of new contract wins, while deferred deal consideration related to the acquisition is scheduled to be incurred through Q3FY2029.