Web Travel Group Reignites Growth Engine as Global Bookings Surge Past 5 Million

Web Travel Group Takes Off

Web travel group (ASX: WEB) surged 10 percent today after delivering a strong half-year result that showed clear strength in the near-term fundamentals of the business. Revenue reached A$204M, up 20% year on year, and total bookings climbed to 5M, an 18% increase. TTV margin came in at 6.5 percent compared to 6.6% last year, but management emphasised that margins exceeded internal guidance and remain on track to finish above 6.5% for FY26.

The Americas delivered strong momentum through new client wins and market share gains. Europe also gained share through product optimisation, which tells me that international interest in the platform is accelerating. When a business like WebBeds starts growing simultaneously across multiple regions, it usually indicates that both product and commercial execution are working together. For investors, today’s rally reflects a renewed confidence in the medium-term runway of the business.

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Web Travel Group Profitability Profile Paints a Cashy Story Investors Can Get Behind

Looking at the half yearly profitability profile of WebBeds business, the numbers show a company with real operating momentum. EBITDA reached A$94M, up 21% year on year, with a strong 45 percent margin. Expenses increased 19%, which was expected, and even with a slight slip in TTV margin, the result still came in above management guidance. What we found most encouraging was the improvement in European margins, supported by a higher share of direct contracts, which lifts overall margin quality and reduces reliance on intermediaries.

Operating leverage is clearly evident. EBITDA grew in line with revenue despite planned increases in operating costs, which tells me the model is scaling efficiently. The earnings also converted into cash at a very high rate. Operating cash flow came in at A$120M, representing 166% conversion, helped by favourable working capital movements as TTV expands.

Web Travel Group, The Balance Sheet Situation

The balance sheet remains a significant point of strength. Cash sits at A$481M, net cash at A$238M, and the undrawn revolving credit facility has increased to A$200M. Total available liquidity now stands at A$699M. Return on invested capital improved to 21.7%, up 4.6 percentage points, driven by higher operating profit and lower average equity. The A$250M convertible notes due in April 2026 have now been reclassified as a current liability, but with this level of liquidity, the company is well-positioned to manage the maturity.

Balances Growth With Discipline as Capex Stays in Cruise Control

The reinvestment profile also remains disciplined. Capex came in at A$18M, and management expects FY26 investment to stay broadly in line with FY25 with normal inflation adjustments. At roughly 9 percent of revenue, capex is not stretching the balance sheet. This level of spend reflects more of a maintenance style program rather than an aggressive, high-risk expansion push. It keeps the platform modern and competitive without compromising financial stability.

The Investors Takeaway For WEB

For investors looking at a holistic picture Web Travel Group, the business is operating a scaled B2B travel marketplace with clear competitive strengths. The growing share of direct contracts is improving pricing power and margin quality, while ongoing optimisation across the platform is helping conversion. With EBITDA margins already strong and guidance pointing toward 50 percent over time, the model is showing the kind of operational discipline that separates leading aggregators from the rest of the market.

The real moat here comes from network effects. More supply attracts more buyers, and as the platform expands and its technology improves, the value for both sides increases. The deepening pool of direct contracts further enhances differentiation and supports a more defensible long term earnings base.