Hostelworld Group (HSW) Trading update summary

Financial performance and trading update

• Net revenue reached €52.2m in H1 2026, up 12% year-on-year, with revenue per transaction rising 11% to €14.9.

• Effective commission rate increased to 17.7% in H1 2026, reflecting successful marketplace monetisation.

• Adjusted EBITDA grew 11% to €8.2m, with a stable EBITDA margin of 16%.

• Direct marketing costs as a percentage of revenue fell to 49%, supporting net margin growth of 16%.

• Closing cash position stood at €15.0m, with net cash of €2.5m.

Operational and strategic developments

• Inventory expansion continued, with budget accommodation now available across platforms and languages via a third-party supplier.

• Integration of Occasion Genius for event discovery is on track, with launch planned for Q3 2026.

• Social Passes are broadening the addressable market.

Market and external environment

• Transaction volumes rose 1% year-on-year, but were negatively impacted by the Middle East conflict, especially in Asia and Oceania.

• Demand in Europe and North America remained resilient despite geopolitical challenges.