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On the Beach Group PLC on Tuesday hailed ‘strong’ annual earnings and the package holiday provider believes consumers will ‘protect’ their getaways even in the face of a tough economic backdrop. Shares in the company shot up 13% to 217.66 pence each in London on Tuesday morning. They have risen 27% over the past 12 months. Pretax profit in the year ended September 30 rose 9.5% on-year to £27.9 million from £25.2 million. Revenue rose 1.8% to £121.4 million from £119.2 million, or by 5.9% on an adjusted basis from £114.6 million. The adjusted revenue figure factors in refunds from airlines for cancelled flights during the pandemic. Adjusted pretax profit advanced 20% to £35.0 million from £29.2 million. ‘I am pleased to report another strong performance which marks our fourth consecutive year of growth,’ Chief Executive Officer Shaun Morton said. ‘During the period we achieved total transaction value of £1.25 billion and sent a record 1.7 million customers on their beach holidays and city breaks. As anticipated, we achieved our biggest summer to date as customers continued to prioritise their summer holidays.’ The total transaction value rose 11% from £1.1 billion, On the Beach noted. Morton continued: ‘Investment in our technology platform has facilitated this year’s growth and enabled us to treble our addressable market. Not only are customers able to find a package holiday to suit their needs within seconds, but they also have more choice than ever before. Our strategic expansion areas, including city breaks and holidays for customers from the Republic of Ireland continue to build momentum, already contributing 8% of FY25 booking mix, whilst the recent launch of cruise complements our offering and I am excited by the opportunities in this new, high growth market.’ The Manchester, England-based company noted a ‘transformational’ deal with budget carrier Ryanair Holdings PLC upped the size of its addressable market to 50 million passengers annually from 16 million. The agreement, announced in February of last year, allows On the Beach customers to access Ryanair’s flights as part of their holiday packages. On the Beach raised its final dividend by 43% to 3.0p per share from 2.1p. Its full-year dividend was up by a third to 4.0p per share. So far in the new financial year, total transaction value is 16% higher, with bookings up 14% on-year. For the winter season alone, bookings are up 15% year-on-year. For the summer, meanwhile, ‘momentum is building’ with year-to-date bookings up 8%. ‘We are confident in delivering another record summer,’ On the Beach said. It is confident of delivering adjusted pretax profit between £39 million and £43 million, in line with market expectations. The CEO added: ‘Demand for On the Beach holidays remains strong and, despite the broader consumer environment, booking trends indicate that consumers will continue to protect their holiday.’ Copyright 2025 Alliance News Ltd. All Rights Reserved.
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