Business
Preliminary results for the year ended 31 Dec 2022
Preliminary results for the year ended 31 Dec 2022.
About this update from Hostelworld Group Plc
[{"type":"text","content":"\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n HOSTELWORLD GROUP PLC \n \n \n \n \n PRELIMINARY RESULTS FOR FOR THE YEAR ENDED 31 DECEMBER 2022\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n LEI:213800OC94PF2D675H41\n \n \n \n \n \n \n \n Hostelworld Group plc (\"Hostelworld\" or the \"Group\" or the \"Company\") preliminary results for the year ended 31 December 2022\n \n \n \n \n Return to profitable growth in line with guidance\n \n \n \n \n 22 March 2023: Hostelworld, a leading global OTA focused on the hostel market, is pleased to announce its preliminary results for the year ended 31 December 2022. \n \n \n \n \n Significant developments \n \n \n \n ·\n Returned the business to profitable adjusted EBITDA\n \n \n ·\n Strong recovery in demand as Omicron impact receded and travel resumed\n \n \n ·\n Successful launch of our innovative and differentiated 'Social' strategy supporting increase in bookings through Apps and reduced marketing cost\n \n \n ·\n Operating costs below FY 2019 levels facilitated by platform modernisation\n \n \n ·\n Continued progress of ESG agenda; accredited Carbon Neutral label and independent research validating \"hostels as a more sustainable travel option to hotels\"\n \n \n ·\n Strong start to 2023 with positive trends continuing\n \n \n \n Financial highlights\n \n \n \n ·\n Full year net bookings totalled 4.8m, an increase of 228% year on year (2021: 1.5m), driven by recovery in Europe, and in particular, Asia and Oceania in H2 2022\n \n \n ·\n Net GMV €470.1m, an increase of 303% year on year (2021: €116.7m)\n \n \n ·\n Net Revenue for the period of €69.7m, an increase of 312% year on year (2021: €16.9m)\n \n \n ·\n Net Average Booking Value (\"ABV\") of €14.90, a 23% increase year on year (2021: €12.11), due primarily to bed price inflation\n \n \n ·\n Direct marketing as a percentage of net revenue amounted to 59% (2021: 76%), reducing from 70% in H1 2022 to 52% in H2 2022, supported by the launch of our app centric 'Social' strategy\n \n \n ·\n Operating costs (excluding paid marketing, exceptional items and share option charges) are below 2019 levels (-13.4%)\n \n \n ·\n Adjusted EBITDA profit of €1.3m (2021: loss of €17.3m)\n \n \n ·\n Operating loss €13.6m (2021: €33.1m)\n \n \n \n \n \n \n Balance sheet ...