- Profits increase by 44% to €121.4 million with an addition of 1.5 million new members
- Exceptional financial performance with a robust balance sheet
- Profitability1 escalated to €121.4 million, a 44% rise from the previous year’s €84.4 million.
- Consistent revenue2 growth, an increase of 9% to €676.1 million and a considerable improvement in marginal profit3, up 32% to €217.3 million.
- Adjusted net income amounted to €22.9 million.
- Subscription model propels continuous growth and long-term value
- Membership saw a 34% surge, with an extraordinary 1.5 million new Prime members joining in the past 12 months, bringing the total to 5.8 million.
- Membership growth has consistently been maintained over time: In the last 24 months alone, 3 million subscribers have joined Prime.
- 76% of eDO’s profits3 are now derived from Prime, making it primarily a subscription business.
- The predictable and secure subscription model increases financial flexibility and facilitates investments in future scalable growth.
- Cash flow4 more than doubled, reaching €44.9 million (+123%) and is expected to increase by another +101% in fiscal year 2025, reaching €90 million.
- Stock buyback
- Considering the current market price of its shares, the Company believes it is in the shareholders’ best interest to speed up its existing share repurchase program. eDO plans to launch a tender offer at a price of €6.9 per share for the remaining 4.5 million shares to complete the 5.5 million shares required to fund the LTI plan for employees until FY27.
- Guidance reiterated
- The company reconfirms FY25 targets: €180 million in Cash EBITDA and 7.25 million Prime members.
- Substantial growth potential beyond FY25
BARCELONA, Spain–(BUSINESS WIRE)–Dana Dunne, CEO of eDreams ODIGEO stated: These remarkable results establish that eDreams ODIGEO and its unique business model have matured. We are a leading, scalable subscription platform worldwide that pleases customers and delivers superior financial performance. It’s evident that our strategy and execution have led to significant value creation, with a considerable opportunity for even greater value generation as our stock is yet to reflect our impressive performance and the considerable growth we have both achieved and anticipate.
As we approach the final year of our ambitious 3.5-year strategic plan, it’s clear that we have made significant progress. In 2021, when no one else was providing guidance, we confidently assured our shareholders that we would become the world’s largest travel subscription company – and we have successfully accomplished that. Prime is now one of the fastest-growing subscription platforms globally, expanding over 10-fold since just before the pandemic. We achieved this despite the pandemic, travel restrictions, high inflation, macroeconomic uncertainty, and two wars. By any standards, this is extraordinary.
Our results show that Prime is more than just an innovative concept or an emerging business; it’s a proven success model. Our subscribers are more satisfied, book significantly more frequently, and value an AI-tailored, personalized experience. This fortifies our business, making it more predictable and stable while also benefiting consumers and industry partners.
As we continue to evolve, our emphasis is on leveraging this robust foundation to achieve further consistent and scalable long-term growth. With our current penetration rate in the low single digits, we see a vast market to target ahead. Our potential beyond fiscal year 2025 is tremendous. We are confident that we can make substantial further progress in the upcoming years.
Complete press release here
About eDreams ODIGEO
eDreams ODIGEO is the world’s top travel subscription platform and one of Europe’s biggest e-commerce businesses. With its four renowned online travel agency brands – eDreams, GO Voyages, Opodo, Travellink, and the metasearch engine Liligo – it caters to over 21 million customers annually across 44 markets. Listed on the Spanish Stock Market, eDreams ODIGEO collaborates with approximately 700 airlines. The company introduced Prime, the travel sector’s first subscription product, which has surpassed 5.8 million members since its inception in 2017. The brand offers the best quality products in regular flights, low-cost airlines, hotels, dynamic packages, car rental, and travel insurance to make travel easier, more accessible, and better value for consumers worldwide.
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1Cash EBITDA: Adjusted EBITDA plus the variation of the Prime deferred revenue corresponding to the Prime fees that have been collected and that are pending to be accrued.
2Cash Revenue Margin: “Revenue Margin” plus the variation of the Prime deferred revenue corresponding to the Prime fees that have been collected and that are pending to be accrued.
3Cash Marginal Profit: “Marginal Profit” plus the variation of the Prime deferred revenue corresponding to the Prime fees that have been collected and that are pending to be accrued.
4Cash Flow: (Free) Cash Flow ex Non-Prime Working Capital means Cash EBITDA and adjusted for cash flows from investing activities, tax payments and interest payments (normalised interest payments, excluding one-offs linked to refinancing).
View the source version on businesswire.com: https://www.businesswire.com/news/home/20240530971792/en/
E: edreamspressoffice@instinctif.com
T: +(44)07879086840
Source: eDreams ODIGEO
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