On the Beach Group heading for FY profitability
On the Beach Group is on track to achieve profitability for the year, in line with directors' views, but noted a number of negative external factors affecting consumer confidence in the terror-attack disrupted summer holiday season..
FTSE All-Share
4,556.59
16:59 19/09/24
FTSE Small Cap
6,935.72
17:09 19/09/24
On The Beach Group
146.00p
16:44 19/09/24
Travel & Leisure
7,953.09
17:09 19/09/24
The online retailer for beach holidays flagged that terror attacks in Turkey and the south of France had dented bookings and demand throughout the Mediterranean.
It also cited macroeconomic uncertainty and weakening of sterling following UK's non-binding vote to quit the European Union in late June.
Meantime, On the Beach said it did not sell and had no exposure to any products from the Lowcosttravelgroup (LCTG), which had entered administration.
"On the Beach has seen an immediate improvement in trading dynamics (since LCTG's failure), with a higher share of market traffic, lower costs per click and improved revenue per unique visitor," it said.
"The Board believes that there will be a medium term benefit to the group as consumers look to secure their holidays from recognised brands with Air Travel Organiser Licence protection."
At 11:40 BST, shares in On the Beach were up 3.37% to 222.25p.