WEB Travel Group (WEB) H2 2025 earnings summary

Executive summary

• Completed demerger of B2C business (Webjet Group Limited) on 30 September 2024; FY25 results reflect only B2B WebBeds business.

• FY25 TTV rose 22% year-over-year to $4.9 billion, with bookings up 20% to 8.4 million.

• Underlying EBITDA was $120.6 million, down 13% from FY24, and underlying NPAT was $79.2 million, down from $101.1 million.

• Strong cash position post-demerger, with $363.6 million as of 31 March 2025, despite significant capital management outflows.

• Completed $150 million share buyback, canceling 31.2 million shares and addressing 88% of potential dilution from convertible notes.

Financial highlights

• Revenue was $328.4 million, up 1% year-over-year, impacted by lower take rates and supply mix.

• EBITDA down 14% to $138.8 million, reflecting lower margins and higher planned expenses.

• Expenses increased 15% to $189.6 million, mainly due to investment in hotel contracting and technology.

• Statutory NPAT from continuing operations was $11.1 million, reflecting significant non-operating expenses and impairment charges.

• Cash conversion dropped to 73% due to contraction in creditor days but expected to normalize to 100% in FY26.

Outlook and guidance

• Targeting record EBITDA in FY26, with EBITDA margin guidance of 44%-47%.

• Expecting to achieve 50% EBITDA margin by FY27, with OpEx growth moderating to mid-single digits.

• TTV target of $10 billion by FY30 remains on track.

• Revenue margin (take rate) expected to be maintained at circa 6.5% medium term.

• Strong start to FY26, with bookings up 29% and TTV up 37% for the first eight weeks.