Shares of Manchester holiday firm On the Beach rose as much as 8% after it published an update on trading for its financial year ending September 30, 2026.

On the Beach reported bookings growth of 9% “significantly ahead of the wider travel market” with total transaction value (TTV) of £1.3 billion — up 6% year on year — representing the fifth consecutive year of record TTV.

The Manchester firm said it expects FY26 adjusted profit before tax (PBT) of £22 million to £23 million, in the top half of the £18m-£25m guidance range at H1 results.

“Strong balance sheet, exiting FY26 debt-free with cash of c.£60m, having returned c.£67m to shareholders in dividends and across three buyback programmes over the past two years, representing 15% of the issued share capital …” said the firm.

“Booking momentum continuing into FY27, having delivered total bookings in the last 8 weeks +17%.

“Announcing today FY27 PBT guidance in the range of £28-35m, which the board is confident of delivering in the year ahead.

“This would represent growth of c.25-55% versus FY26, and reflects the trading momentum outlined above, while remaining mindful of the ongoing conflict in the Middle East and the broader UK consumer backdrop.”

On the Beach CEO Shaun Morton said: “We are pleased to have delivered an FY26 adjusted PBT performance in the top half of our guidance range, following a strong Summer 26 season.

“We are also seeing strong booking momentum into FY27, with total bookings in the last 8 weeks +17%. The progress being made across the business reflects the strategic investments we have made in technology, in our expanded product offering, and in our brand.

“These initiatives are translating into market share gains and deeper customer loyalty, including bookings from repeat customers +18%, underpinning our confidence in the group’s prospects for the year ahead. We look forward to setting out our strategic progress in more detail at our full-year results on 1 December.”