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SoftBank-backed Oyo says annual loss grew over six-fold on China expansion – Source Reuters Tech News

BENGALURU (Reuters) – SoftBank-backed (9984.T) Oyo Hotels and Homes said on Monday losses widened more than six-fold in the year to March 2019, as the India-based hotel chain spent heavily to expand into China.

FILE PHOTO: The logo of OYO, India’s largest and fastest-growing hotel chain, installed on a hotel building is pictured in an alley in New Delhi, India, April 3, 2019. REUTERS/Adnan Abidi/File Photo

The news comes weeks after Oyo began laying off roughly 2,000 employees in India, as it inches toward profitability, and days after its major investor SoftBank Group reported dismal quarterly results. The Japanese firm owns about 46% of Oyo.

Quarterly profit at SoftBank Group was almost wiped out as it faced losses at its $100 billion Vision Fund, its results last week showed, which came months after its bailout of loss-making startup WeWork.

Oyo’s consolidated net loss after tax widened to $335 million in the year ended March 31, 2019, the company said in a statement. Its loss…

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Source Reuters Tech News

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