On The Beach enjoys record summer sales
Online travel company On the Beach has this morning told the stock market that it expects to post record revenues of sales over .£1.1bn and pre-tax profits “at the top end of the range of market expectations”.
The company has enjoyed a strong summer of bookings in 2023 with passenger numbers 11% ahead of Summer 2022, and booking for Winter 23 currently stand at 26% ahead of the prior year.
“Notwithstanding that it remains in its early stages, bookings for Summer 24 are also significantly ahead of the prior year,” the statement said.
Travel companies record a “total transaction value (TTV)” much of which consists of revenue they pass on to airlines and tour operators, earning income via commissions.
Nevertheless, On The Beach was happy to point out it will deliver “record TTV and revenue in FY23. This performance has been underpinned by enhanced platform capabilities and a well-executed strategy across brand and proposition.”
Founded in 2004 by entrepreneur Simon Cooper, the business was backed by private equity investor Livingbridge, who sold their stake to Inflexion for £73m in October 2013, before it floated on the main market of the London Stock Exchange in September 2015 with a £240m market capitalisation. At the time, Inflexion still owned a 37.1 per cent stake.
Shaun Morton, chief executive of On the Beach, said: “We continue to leverage the benefits of the investments we have made in our proprietary technology platform, brand and proposition and I am pleased to see that this has driven growth in both the top and bottom lines during the second half of the year as planned.
“Alongside access to greater seat and bed capacity, this has resulted in our most successful summer, sending more passengers on their holidays than ever before. Following our strong second half performance we will exit FY23 with the momentum of a record forward order book and demonstrable progress in strategic expansion areas, which we are excited to build upon in FY24.”
