Web Travel Group Ltd (ASX: WEB) shares are jumping on Tuesday morning.
At the time of writing, the ASX 200 stock is up 14% to $4.55.
This follows the release of the WebBeds owner's half year results before the market open.
ASX 200 stock jumps on results day
For the six months ended 30 September, Web Travel reported an 18% jump in bookings to 5.1 million and a 22% lift in total transaction value (TTV) to a record of $3.17 billion. Management notes that its top three regions reported significantly above market growth, particularly the Americas.
Another positive was its improved TTV margin. The ASX 200 stock recorded a first half TTV margin above guidance at 6.5%. This means it is on track to be at least 6.5% for FY 2026.
This ultimately led to Web Travel posting a 20% increase in revenue to $204.6 million and a 17% jump in underlying EBITDA to a record of $81.7 million.
On the bottom line, the ASX 200 stock posted underlying EBIT of $66.2 million and underlying net profit after tax of $48.6 million. This was up 10% and down 7.4%, respectively, over the prior corresponding period.
Cash flow from operations was $120.5 million during the period, leaving it with a closing cash balance of $481.1 million. However, no dividend was declared for the first half of FY 2026.
Management commentary
Web Travel's managing director, John Guscic, was pleased with the half. He said:
WebBeds continues to deliver world class TTV growth. We reported $3.2 billion TTV for the first 6 months of the financial year, 22% more than the same period last year, driven by the significant above-market growth coming through in our top 3 regions, particularly the Americas. A range of initiatives have helped optimise TTV margins which were 6.5% for the period, ahead of our guidance. TTV margins remain on track to be at least 6.5% for FY26.
Outlook
The ASX 200 stock revealed that the second half has started strongly. Guscic said:
Trading for the first 7 weeks of 2H26 has been strong with TTV up 23% compared to the same period last year. We are on track to deliver record results with FY26 underlying EBITDA expected to be between $147 and $155 million.
The managing director also spoke positively about its medium term growth targets. He added:
This impressive growth is a reflection of our efforts and not macro-economic events. We delivered an incremental $580 million TTV compared to the same period last year, with improved TTV margins. WebBeds continues to win global share, which is amplifying the network effect and making us even more relevant to our hotel supply and travel buyer partners. The team's unwavering focus on winning new clients, enhancing supply and geographic reach, and continuing to improve conversions is bringing us closer to our $10 billion TTV FY30 target.
