RedBus expands global footprint, initiates to boost bus industry financing

Sangam also highlighted the company's efforts to collaborate with non-banking financial companies (NBFCs) in India to improve the financing landscape for bus operators. He noted that the current challenge lies in a constrained supply, leading to a 30-35% increase in prices compared to pre-Covid times. Many bus operators faced closures during the pandemic, resulting in debt issues and fleet sales. Unlike the more organised airline industry, the informal nature of the bus industry has created skepticism among financial institutions about lending to it.

RedBus sees opportunities to support the growth of bus operators by facilitating a favorable financing environment. The company is actively engaging with NBFCs and expressed willingness to collaborate with other financial institutions to address the financing needs of the industry.

Sangam reported a remarkable 30% year-over-year revenue growth, attributing it to the resurgence of travel post-Covid. The platform has witnessed an expansion of its user base, with increased participation from regions such as Madhya Pradesh, Punjab, Uttar Pradesh, Assam, Orissa, and Bihar. Sangam emphasised that traditionally strong markets in the South, including Tamil Nadu, Karnataka, and Andhra Pradesh, have contributed significantly to the growth in the past six months.

RedBus currently boasts a vast network of 425,000 unique source-destination combinations on its platform, offering around 32,000 unique private services and 25,000 state transport schedules. The CEO remains optimistic about the future, focusing on sustaining growth and fostering partnerships to support the evolving landscape of online bus booking.