On the Beach: Cost of living impact still uncertain
On the Beach acknowledged it is still in the dark over the short-term cost of living impact on bookings.
“Visibility of the near term outlook for the UK outbound travel industry remains limited,” CEO Simon Cooper said, as On the Beach posted interim results for the six months ending March 2022.
“Customers are typically booking holidays with shorter lead times and we believe we are yet to see the full impact of the escalating costs of living.”
Group revenue totalled £52.9 million, still below pre-Covid levels.
Of this, revenue as agent contributed £39.7m which was £5.3m lower than 2019.
It had cash reserves of £16.8m and an undrawn credit facility of £75m
Customer prepayments amounted to £99m.
“During the first half of our financial year we have seen a set of unique trading dynamics which were impacted, in part, by the Omicron variant in December and January.
“Throughout the pandemic, we continued with our strategy of investing in our brand, technology and customer proposition.
There was ‘significant uplift in traffic and booking volumes following easing of restrictions in the UK and key International destinations.’
“It has left us in a strong position to continue growing market share.”
On the Beach is upbeat on the lates market now that Spain has relaxed restrictions.