19th May 2016 09:12
LONDON (Alliance News) - On the Beach Group PLC on Thursday reported a huge boost to profit in the first half of its financial year following its listing on the London Main Market, while revenue grew despite a "volatile" market resulting from recent terrorist attacks.
The online retailer for beach holidays said its pretax profit in the six months ended March 31 multiplied to GBP7.3 million from GBP283,000 in the same period the year before, as revenue grew to GBP35.5 million from GBP29.2 million.
On the Beach listed on the London Main Market in September last year, following which, net finance costs dropped to GBP60,000 in the first half from GBP4.6 million the year before.
Revenue, meanwhile, was boosted by a 17% increase in daily unique visitors in the UK and 140% increase internationally. The company said that while uncertainty and volatility in the holiday market ensued following the terrorist attacks in Tunisia, Egypt and Turkey, it has managed to overcome this by securing incremental supply in the Western Mediterranean instead.
On the Beach noted that some consumers are choosing to delay timing of booking a holiday due to reduced consumer confidence following the terrorist attacks, meaning it expects to see a more predominant volume of bookings in the late part of the summer period.
"In the absence of any future negative market events, we anticipate stronger consumer confidence in the second half of the financial year, buoyed by a strong lates market, and are on track to meet our expectations for the full year," Chief Executive Simon Cooper said in a statement.
Shares in On the Beach were trading down 7.4% at 281.62 pence on Thursday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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