eDreams ODIGEO (EDR) Q2 2026 earnings summary

Executive summary

• Prime subscription model drove 18% YoY growth in members to 7.7 million, with 457k added in 1H FY26 and a strategic shift to monthly/quarterly payments, increasing LTV by 13% and expanding into new products and geographies.

• Cash EBITDA rose 16% YoY to €94.0M, with margin up 7pp LTM, and Adjusted Net Income reached €47.1M, reflecting strong profitability.

• Prime now accounts for 74% of Cash Revenue Margin and up to 90% of Cash Marginal Profit, highlighting the success of the subscription model.

• Significant investments are planned in new markets, product expansion (rail, hotels, AI), and payment flexibility to drive long-term growth.

• AI adoption is a key enabler, with over 400 billion tokens processed annually and 30% of code now AI-generated, boosting productivity and automation.

Financial highlights

• Revenue Margin increased 5% YoY to €343.8M, driven by a 20% rise in Prime Revenue Margin, while Non-Prime Revenue Margin fell 22%.

• Cash Marginal Profit up 10% YoY to €144.2M; Cash Marginal Profit Margin for Prime rose 6pp to 42%.

• Adjusted EBITDA for FY 2026 is expected at EUR 173 million, a 30% increase YoY, net of one-time timing effects from payment model changes.

• Net income surged to €31.5M (2,270% YoY); Adjusted net income at €47.1M (+481% YoY).

• Deferred revenue impact: -EUR 18 million in FY 2026, -EUR 6 million in FY 2027, then >EUR 30 million positive annually from FY 2028.

Outlook and guidance

• Prime member base to grow by 600,000 in both FY 2026 and FY 2027, then accelerate to 15-20% annual growth, reaching over 13 million by FY 2030, 40% above market consensus.

• Cash EBITDA projected to decline to €155M in FY26 and €115M in FY27, then grow >33% p.a. from FY27 to FY30, surpassing €270M by FY30.

• Prime ARPU will temporarily dip to the low-mid EUR 60s in FY 2026-27, recovering to ~EUR 70 by FY 2030.

• Prime Deferred Revenue to reduce in FY26-27, then contribute >€30M/year from FY28.