Web Travel Group Eyes Record FY26 with $3.1B Half-Year TTV

Strong Growth Momentum

Web Travel Group Limited (ASX, WEB) has delivered an upbeat trading update at its 2025 Annual General Meeting, setting the stage for what could be a landmark financial year. The company’s online travel booking platform, WebBeds, is on track to achieve a Total Transaction Value (TTV) of at least $3.1 billion in the first half of FY26, up from $2.6 billion in the same period last year. This growth reflects a surge in bookings, expected to rise by a mid to high teens percentage, underscoring the company’s expanding footprint in key global markets.

Margins and Portfolio Adjustments

While the company anticipates FY26 TTV margins to hold at a minimum of 6.5%, this represents a slight dip from the 6.7% margin achieved in FY25. The margin contraction is partly attributed to the strategic sale of its Destination Management Company (DMC) business in March 2025, which previously contributed around 0.2% to the TTV margin. Additionally, changes in portfolio mix have influenced margin dynamics, with first-half margins expected between 6.2% and 6.4%, improving in the second half of the year.

Navigating Geopolitical Challenges

Managing Director John Guscic acknowledged the impact of geopolitical tensions, particularly the Israel-Iran conflict, which caused a notable spike in cancellations during a two-week period in June. Despite this disruption, trading activity has rebounded strongly across the Americas, Asia Pacific, and Europe. However, the Middle East region continues to experience subdued demand, reflecting ongoing regional instability. This resilience in other markets has helped WebBeds maintain its upward trajectory and gain market share against competitors.

Outlook and Market Position

With these positive indicators, Web Travel Group is targeting record earnings before interest, tax, depreciation, and amortisation (EBITDA) for FY26. The company’s ability to sustain growth amid external shocks and portfolio shifts highlights its operational agility and strong market positioning. Investors will be keenly awaiting the detailed half-year results scheduled for release on 25 November 2025, which will provide further clarity on financial performance and margin trends.