SiteMinder’s Narrowing Loss Masks Risks Amid Rising Costs and Market Uncertainty

Strong Revenue Growth and Improved Profitability

SiteMinder Limited has delivered a compelling half-year performance for the period ending 31 December 2025, with total revenue climbing 25.5% year-on-year to $131.1 million. This growth was underpinned by a 12.3% increase in subscribing hotel properties and a surge in transaction product uptake, reflecting the company’s expanding footprint in the global accommodation technology market.

Despite continuing to report a statutory loss after tax of $4.78 million, this marks a substantial improvement from the $13.89 million loss recorded in the prior corresponding period. The narrowing loss was supported by disciplined cost management and operating leverage, with EBITDA rising sharply to an $11.5 million profit.

Smart Platform Strategy Driving Momentum

Central to SiteMinder’s growth story is its Smart Platform strategy, which comprises three core pillars: Dynamic Revenue Plus, Channels Plus, and the Smart Distribution Program. These initiatives leverage proprietary data assets and AI-driven capabilities to empower hoteliers with enhanced pricing, distribution, and revenue management tools.

The uptake of transaction products, including SiteMinder Pay and Demand Plus, grew 30.7% year-on-year to 40,000 properties, contributing to a 39.1% increase in transaction revenue to $53 million. The strategy is also delivering improved unit economics, with Lifetime Value (LTV) increasing 14.7% to $31,108, outpacing a modest 3.7% rise in Customer Acquisition Cost (CAC), resulting in an improved LTV/CAC ratio of 6.7x.

Geographic and Product Expansion

SiteMinder’s revenue growth was broad-based across its key regions: Europe, Middle East and Africa (EMEA) led with a 31.9% increase, followed by Asia Pacific (APAC) at 21.8%, and the Americas at 20.4%. The company continues to focus on attracting larger, higher-value properties, which unlock greater revenue potential through variable fee structures.

The company’s subscription revenue rose 17.7% to $78.1 million, supported by a 4.5% increase in average revenue per user (ARPU) to $257 per month. This reflects successful price increases, upselling, and strategic incentives aimed at larger properties.

Financial Position and Outlook

SiteMinder maintains a solid liquidity position with $32.1 million in cash and $61.9 million in total liquidity including undrawn credit facilities. Operating cash flow improved significantly to $17.4 million, while adjusted free cash flow turned positive at $2.7 million, reflecting the company’s growing scale and operational efficiency.

Looking ahead, SiteMinder expects continued strong ARR growth and further improvements in adjusted EBITDA and free cash flow, driven by ongoing Smart Platform enhancements and AI integration across its operations. The company is targeting medium-term revenue growth approaching 30%, while maintaining profitability discipline and optimising its Rule of 40 performance metric.