On the Beach Group plc has provided a pre-close trading update for its financial year ending on 30 September 2023. The company has reported a record total transaction value (TTV) of approximately £1.1 billion, a 26% increase compared to the previous year. This growth in TTV is attributed to an increase in volumes and average booking values. The group's EBITDA is in line with market expectations, and its adjusted profit before tax is at the top end of the range of market expectations, benefiting from higher than anticipated interest income. The company's marketing costs for the full year are expected to be 40% of revenue, down from 45% in the previous year. The group is debt-free and cash generative, providing balance sheet flexibility.

The group has achieved record TTV and revenue in FY23, driven by enhanced platform capabilities and a well-executed strategy across brand and proposition. The company expects passenger numbers for Summer 23 to be 11% higher than Summer 22, and Winter 23 is currently 26% ahead of the previous year. Bookings for Summer 24 are also significantly ahead of the prior year. The group is successfully growing volumes and average booking values in its core addressable market and strategic online expansion segments. It expects to see a 70% increase in TTV for Long Haul bookings and a 30% increase in Premium 5* TTV by the end of the year.

Shaun Morton, Chief Executive of On the Beach, expressed satisfaction with the growth in both the top and bottom lines during the second half of the year. He attributed this growth to the investments made in the company's proprietary technology platform, brand, and proposition. Morton also highlighted the company's successful summer, with more passengers sent on holidays than ever before. The company expects to exit FY23 with a record forward order book and progress in strategic expansion areas, which it plans to build upon in FY24.