Updates

Hostelworld - Net debt drops to €2.6m

October 2024

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

Hostelworld continued to enjoy strong booking growth in the six months ended June, with net bookings up 9% year-on-year to 3.7m. However, the increasing mix towards lower cost Asian destinations, together with a slight increase in solo customers saw a 10% reduction in net average booking value to €13.60. As a result, net revenues rose only 1%. However, with direct marketing costs falling to just 45% revenues from 51%, EBITDA rose 88% to €9.6m. Those marketing efficiencies have been driven by its social strategy and its app, which allows holiday goers to make new friends by linking up with like-minded travellers as well as giving ideas about which activities and bars to go to, with such “app” customers being acquired with zero mar ...

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Elementis

Hostelworld - Bank debt, which peaked at €21.2m, now paid off (December 2024)

Hostelworld - Results beat even upgraded guidance (May 2024)

Hostelworld - Results beat forecasts, debt down (March 2024)

Hostelworld - Blow-out 43% bookings growth drives upgrades (December 2023)

Hostelworld - New social platform drives 50% forecast upgrade (October 2023)

Hostelworld (October 2022)

Hostelworld (October 2021)

Hostelworld (May 2021)

Hostelworld (March 2021)

Hostelworld (October 2020)

Hostelworld (August 2020)

Hostelworld (May 2020)

Hostelworld (April 2020)

Hostelworld (October 2019)

Hostelworld (June 2019)

Hostelword (November 2018)

Hostelworld (July 2018)

Hostelworld (March 2018)

Hostelworld - 10% rise in bookings (October 2017)

Hostelworld - Largest online provider of hostel accommodation enjoying rapid growth (June 2017)

Hostelworld - Online disruptor for hostels enjoying strong margin growth (May 2017)

With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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