The Web Travel Group Ltd (ASX: WEB) share price is up 7% after the business announced its FY26 result.
Web Travel Group is the business behind WebBeds, a global business-to-business travel marketplace servicing the travel trade, an intermediary connecting hotels and suppliers with travel buyers all around the world.
FY26 result
Let’s take a look at the performance of the business for the 12 months to 31 March 2026:
- Total transaction value (TTV) increased by 20% to $5.8 billion
- Revenue rose 20% to $394.1 million
- The revenue to TTV margin improved 0.1% to 6.8%.
- EBITDA (EBITDA explained) rose 24% to $172.7 million
- Underlying net profit grew 8% to $85.9 million
- Underlying earnings per share (EPS) grew 16% to 23.8 cents
- Statutory net profit down 82% to $35.5 million
What happened in this result?
Web Travel Group said that WebBeds bookings were up 18% year on year, driven by significant organic growth in the Americas and Europe.
The Americas was the biggest driver of growth, with bookings increasing by 41% compared to the previous year.
However, the Asia Pacific (APAC) and the Middle East & Africa (MEA) regions were both impacted by escalation of the conflict in the Middle East. Despite that, both regions increased bookings during the period.
The ASX share noted that it’s winning market share, largely thanks to its scalable business model. It said it has been able to achieve its market-leading TTV growth with no margin pressure.
It saw a number of positives including winning new customers, enhancing supply sources, extending its geographic reach and improving conversions.
The previous year included an $184 million net gain on the demerger, which wasn’t repeated this financial year, affecting the statutory net profit.
Outlook for the Web Travel Group share price
The ASX share said that while the trading environment remains uncertain, though it’s delivering resilience across a number of key markets.
In the first eight weeks of FY27, bookings were up 6% and TTV was up 4% in constant currency terms, though down 6% in Australian dollar terms compared to the same period last year.
The Americas and Europe continue to deliver growth, though the conflict continues to have a material impact on MEA and to a lesser extent APAC.
Web Travel Group continues to expect FY27 TTV margins of at least 6.5%, reflecting ongoing pricing discipline and resilience in the underlying business model.
The company said that it’s maintaining a conservative balance sheet and prudent cash reserves, though it has the flexibility to pursue acquisition opportunities.
Considering it’s down 45% in the past year, I think it looks more appealing if it can continue growing TTV over the longer-term.
But, there are other ASX growth shares that could be even better buys.
