WEB Travel Group Grows Revenue 20% While Expanding Margins and Hitting $5.8B TTV
FY26 delivers across-the-board growth as WebBeds builds on market-leading position
Web Travel Group (ASX: WEB) has reported its Web Travel Group FY26 Results for the 12 months ending 31 March 2026, delivering growth across every key metric. Total Transaction Value (TTV) reached $5.8 billion (up 20%) and Underlying Group EBITDA climbed to $148.4 million (up 23%), with management highlighting that $1 billion of incremental TTV was generated at an improved margin.
The full-year scorecard reflects a business scaling with discipline rather than at the expense of profitability:
- TTV: $5.8 billion (up 20%)
- Revenue: $394.1 million (up 20%)
- TTV margin: 6.8% (FY25: 6.7%); 2H26 margin: 7.1%
- WebBeds EBITDA: $172.7 million (up 24%), EBITDA margin 43.8%
- Underlying Group EBITDA: $148.4 million (up 23%)
- Underlying NPAT: $85.9 million (up 8%)
- Underlying EPS: 23.8 cents (up 16%)
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What’s driving the numbers: regional strength and operating leverage
Americas and Europe lead the charge
The two standout growth engines for FY26 were the Americas and Europe, with Bookings up 41% and 19% on FY25 respectively. Total WebBeds Bookings reached 9.9 million, up 18% year-on-year.
APAC and MEA both faced headwinds from the escalation of the Middle East conflict, which placed downward pressure on Bookings and TTV, particularly in March 2026. Importantly, both regions still grew Bookings year-on-year, reflecting the breadth of WebBeds’ distribution reach across diverse markets.
Margin improvement and expense discipline
TTV margin improved to 6.8% for the full year, or 6.6% on a like-for-like basis after removing the DMC business sold in April 2025. Expense growth of 17% (just 10% in EUR functional currency) lagged revenue growth of 20%, demonstrating the operating leverage embedded in the WebBeds model. The EBITDA margin expanded from 42.3% to 43.8%, a gain of 1.5 percentage points.
| Metric | FY26 | FY25 | Change |
|---|---|---|---|
| Bookings | 9.9 million | 8.4 million | +18% |
| TTV | $5.8 billion | $4.9 billion | +20% |
| Revenue | $394.1 million | $328.4 million | +20% |
| Expenses | $221.4 million | $189.6 million | +17% |
| EBITDA | $172.7 million | $138.8 million | +24% |
| EBITDA Margin | 43.8% | 42.3% | +1.5ppt |
Understanding TTV and why margin expansion matters in B2B travel distribution
TTV, or Total Transaction Value, is the gross price of a hotel booking before any costs are deducted. It represents the full amount a travel agent or online booker pays for accommodation at the point of transaction. TTV margin (calculated as Revenue divided by TTV) reflects how much of that gross booking value WebBeds retains as revenue after passing through the cost of the room to the supplying hotel.
WebBeds operates as a B2B travel distribution business, sitting between hotels and travel agents or online booking platforms. It aggregates accommodation supply from hotels globally and distributes that supply to intermediaries who service the end traveller. This is fundamentally a volume-and-margin business: scale matters because a larger, more efficient operation can serve more Bookings without a proportional rise in costs.
This is precisely why the FY26 result is noteworthy from an investor standpoint. Growing TTV by 20% while simultaneously expanding the EBITDA margin from 42.3% to 43.8% means WEB is not acquiring growth through discounting or excessive cost. The clearest illustration of this dynamic is the $1 billion of incremental TTV delivered at an improved margin, a result Managing Director John Guscic attributed to disciplined execution across the business.
John Guscic, Managing Director
“We have been able to maintain our market-leading TTV growth rate with no margin pressure. WebBeds delivered $1 billion incremental TTV this year at an improved margin compared with last year, demonstrating disciplined growth and margin resilience.”
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Cash generation, balance sheet reset, and the road ahead
107% cash conversion underpins financial strength
Cash from operations came in at $132.4 million, with cash conversion of 107% compared to 73% in FY25. The significant improvement reflects the scalability of the WebBeds model as TTV volumes grow. The Company’s cash balance at 31 March 2026 was $448.1 million.
Post period end, the Company redeemed its $250 million Convertible Notes on 12 April 2026, funded through $50 million of existing cash and a $200 million drawdown under the Revolving Credit Facility (RCF). The RCF had been expanded from $40 million to $300.9 million prior to year end specifically to accommodate the redemption. Pro forma liquidity following the redemption stands at approximately $500 million, comprising $398.1 million in cash and $100.9 million of undrawn RCF.
No dividend has been declared for FY26. The Board’s stated capital management priority is growth, both organic and inorganic, with a conservative balance sheet maintained to preserve M&A optionality.
Roger Sharp, Chair
“Following redemption, we continue to have strong liquidity based on working capital and undrawn credit lines, providing us with the flexibility to pursue any attractive M&A opportunities that might arise in the current economic climate.”
FY27 early trading and margin guidance
For the first 8 weeks of FY27 trading, Bookings were up 6% and TTV was up 4% in constant currency, though down 6% in Australian dollars compared to the same period last year. Americas and Europe continue to deliver growth, while the Middle East conflict continues to have a material impact on MEA and, to a lesser extent, APAC.
Management has guided to FY27 TTV margins of at least 6.5%, reflecting ongoing pricing discipline and confidence in the resilience of the underlying business model. Long-term Bookings and TTV growth consistent with historical trends remains the expectation, contingent on geopolitical conditions.
Key factors for investors to monitor heading into FY27:
- Recovery trajectory in MEA and APAC as the Middle East conflict evolves
- Sustained Americas and Europe Bookings momentum
- TTV margin delivery against the 6.5% floor guidance
- M&A activity, with management flagging the conservative balance sheet preserves optionality
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