Moody's turns positive on OYO parent Prism
By Abha Lohia ·
OYO: revenue and funding and every story →
- OYO is a travel tech unicorn selling budget accommodation across India, Europe and the US, and its parent company is Prism
- A global rating agency moved its outlook on Prism to positive from stable and kept the B2 corporate family rating, ahead of the planned listing
- Earnings more than doubled to ₹2,630 crore in FY26, cash flow turned positive, and the agency expects about ₹3,000 crore next
What happened
- Rating outlook on Prism raised to positive from stable.
- The B2 corporate family rating stays unchanged.
- The move comes ahead of OYO's planned IPO.
- FY26 EBITDA rose to ₹2,630 crore from ₹1,080 crore.
- Free cash flow turned positive for the first time in years.
Why it matters
- The agency expects stronger earnings and further debt reduction over 12-18 months.
- OYO leads budget accommodation in its main markets.
- Operations span India, Europe and the US.
The business
- OYO, formerly Oravel Stays, is a budget accommodation platform.
- It operates in India, Europe and the US.
- It keeps adding new storefronts to its platform.
The founders
In numbers
₹2,630 CrEBITDA · FY26
₹1,080 CrEBITDA · FY25
What happens next
- EBITDA expected near ₹3,000 crore over 12-18 months.
Words to know
- EBITDA
- Earnings before interest, taxes, depreciation and amortisation
Terms in this story
- Unicorn: A unicorn is a privately held startup whose investors value it at $1 billion (about ₹8,000 to ₹9,000 crore at recent exchange rates) or more. A soonicorn is one expected to get there soon, and a decacorn is valued at $10 billion or more.
- IPO: An IPO, or initial public offering, is the first time a company sells its shares to the general public and gets listed on a stock exchange. In India the process is supervised by SEBI and ends with the shares trading on the NSE and BSE.
Everything on OYO → · All startup news on 18 October 2026 →
Is this OYO? Get your “Featured on StopDown” badge →