(Alliance News) - Hostelworld Group PLC shares were up on Wednesday, after it said it has returned to profitable growth in 2022 with recovery in Europe, Asia and Oceania.
Shares in the Dublin-based hostel booking company were up 4.6% to 121.73 pence each in London on Wednesday around midday.
Hostelworld hailed a "recovery in Europe and in particular, Asia and Oceania" in the second half of 2022, as full-year net bookings hit 4.8 million.
It reported that revenue amounts to EUR70 million, compared to EUR16.9 million in 2021, and it expects adjusted earnings before interest, taxation, depreciation and amortisation of around EUR1 million, compared to an adjusted Ebitda loss of EUR17.3 million a year before.
The company added that marketing as a percentage of revenue was 59%, reducing from 70% in the first half of 2022 to 52% in the second half, supported by the launch of its app centric 'Social' strategy.
"As we exit 2022 and begin 2023, we are also pleased to report that early trading results are in line with expectations," it added.
Chief Executive Gary Morrison said: "2022 was the year in which Hostelworld demonstrated the resilience of its business model and the capacity to capitalise on market demand as it returned. Most significantly, through a combination of operational progress, disciplined cost control and the launch of our innovative 'Social' strategy, we returned the business to profitable growth."
The company will report its full year results for 2022 on March 22.
By Sophie Rose, Alliance News reporter
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Hostelworld (HSW)