The shares of India’s largest airport service aggregator platform plunged by over 14 percent on Thursday following the news of major banks closing their ties with the company. In this article, we will discuss more about this issue.
With a market capitalization of Rs 1,247 crores, the shares of Dreamfolks Services Ltd are currently trading at Rs 234 per share, down by 55.17 percent from its 52-week high of Rs 522 per share. In the last one year, the stock has delivered a negative return of 51 percent.
According to sources, prominent clients such as ICICI Bank, Axis Bank, and Mastercard are expected to terminate their agreement with the country’s largest airport service aggregator and are already having discussions for direct contracts with lounge operators.
Their decision followed an extreme service disruption in September 2024, which prevented access to lounges for 49 lounges at 34 airports, leaving thousands of passengers stranded. While this was rectified in less than 24 hours, the issue produced a furious backlash from prominent airport operators such as Adani, GMR, and TFS, who claimed the aggregator breached their service agreements and some even announced that they may seek legal action against the company.
Although the incident caused major damage to client confidence, the aggregator still enjoys a dominant 90% of the market share in airport lounge access for Indian domestic travel.
Financial Highlights
The company reported a revenue of Rs 1,292 crore in FY25, up by 13.84 percent from its FY24 revenue of Rs 1,135 crores. However, it reported a net profit decline of 5.80 percent to Rs 65 crore in FY25 from Rs 69 crores in FY24.
It delivered an ROE and ROCE of 24.21 percent and 33.76 percent respectively, and is currently trading at a P/E of 21.59x as compared to its industry average of 21.55x. DreamFolks Services Ltd is an Indian airport services aggregator that provides a tech platform for banks, airlines, and travel companies to offer airport services to their travelers.
DreamFolks connects global card networks and airport service providers—like lounge operators, transport, spa, food, and hotels—all onto a single platform. In addition to the traditional lounges, DreamFolks has nap rooms, curated meals, and other airport services at select airports of Bengaluru, Cochin, and Mumbai.
However, on 20 June 2025, the company, through a stock exchange filing, announced that these are rumours and their connections with over 50 clients remain intact as they enter into MSAs for five years with an annual price escalation.
Written by Satyajeet Mukherjee
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