On the Beach Group (OTB) H1 2025 earnings summary

Executive summary

• Booked TTV rose 13% year-over-year to £640.7m, with booking volumes up 11% and operational leverage improving significantly, outpacing the broader package holiday market.

• Adjusted profit before tax increased 23% year-over-year, reaching £7.6m, with continued investment in new markets including Ireland.

• Expanded addressable market with 130 city destinations now live, a tripling of hotel inventory since 2019, and a new brand presence in the Republic of Ireland.

• Technology and platform upgrades enhanced product differentiation, automation, and customer engagement, supporting growth and operational efficiency.

• Approximately £30m returned to shareholders via buybacks and dividends in the past 12 months.

Financial highlights

• Adjusted revenue rose 12% to £64.1m, with adjusted EBITDA up 19% to £12.0m and EBIT up 27% to £5.4m.

• Interim dividend of 1.0p per share declared, up 11% year-over-year.

• Net debt reduced by £18m year-over-year, with cash position improved by £17.8m despite significant shareholder returns.

• Cash in trust rose to £224.2m, supporting future travel commitments.

• Adjusted profit before tax would have increased nearly 50% excluding Ireland investment.

Outlook and guidance

• Summer 2025 forward order TTV is 14% ahead of last year, with Q3 to date TTV growth at 18%.

• Board confident in delivering FY25 profit in line with consensus of £38.2m; medium-term targets reaffirmed (£2.5bn TTV, £100m EBITDA, £85m PBT).

• Early-stage access to new markets and continued tech investment expected to drive further H2 growth.

• Summer bookings and current trading momentum point to another record year.