Mondee Holdings, Inc. (NASDAQ:MOND) Q2 2023 Earnings Call Transcript

And number three, and most importantly, for us when we are acquiring companies, like I said before, we are acquiring contracts effectively and customers. So in the contract sense, we are a value when comparing those contracts and whenever one of the targets that we acquired in a certain hotel or in a certain airline, they have a better contract, then we incorporate that in our own unified content hub. So basically, from our perspective the success is Number 1 in the ability to diversify and enrich and improve the content of the entire platform; and Number 2 to keep adding new customers and new travel experts in geographies where we have been very difficult to acquire them organically, such as the U.S. and Canada? I don’t know, Jim or Prasad, if you have any other thoughts.

Jim Dullum: No, I think you hit it correctly, right. At the beginning there Orestes, I think, Brett it’s – you’re looking at a mix issue, right? I mean there are relative growth across all of the platforms and all of the geographic platforms. It’s just that if some of the areas are growing faster, the relative percentage of one geography over another is going to moderate somewhat. So I think that – that may be what you’re seeing.

Brett Knoblauch: So if revenue in the U.S. is down 15%, should I assume that less people are traveling in the U.S. and more of your transactions are international transactions in the quarter?

Prasad Gundumogula: I mean we don’t see that it’s 15% down, as Jim and Orestes mentioned. It is the market share of that segment is – or the market that U.S. market is down by 15%, but not the actual credit real [ph] numbers is down. However, the other markets are growing fastly. And by the way, for us the international is a sweet market and we see that as an improvement there is what we wanted to anticipate and what we are working for to create a good value for our customers. And historically, which we have a good share of – market share in those segments and contribute…

Brett Knoblauch: And I guess if I could. Got it, and then maybe just one last question. The second quarter from a seasonality perspective has historically been your largest quarter for the year. But I guess, your guidance implies we’re going to see a relatively stronger back half of the year relative to the first half of the year, at least on a net revenue basis. I guess any puts or takes as to why it’s going to be different from a seasonality perspective this year relative to the previous years?

Orestes Fintiklis: Yes. I mean let me give you a few points there. This is Orestes. Okay, Jim, go ahead and then I’ll answer.

Jim Dullum: Yes. I was just part of that, Brett, is, again, with some of these international acquisitions that will change a little bit the seasonality because there are different seasonalities in different parts of the world. If you think about it, you even have different weather patterns as an example. So given that, what we will see is a little shift in the seasonality. But then the other part – the second part of it is also with the — with what we’ve just introduced the new technologies, the new markets that we’re opening up, our seasonal pattern is probably going to be off a little bit simply because we will overwhelm that seasonal pattern with the organic growth of the business in all of these different market segments that previously we really weren’t playing in very strongly.