On The Beach Share Discussion Threads

[grahamburn] 06/2/2020 17:53

Probably more to do with both Liberum and Peel Hunt issuing buy recommendations today....plus probably the recent and rapid substantial fall in the share price.

[typo56] 06/2/2020 15:22

I'm surprised the market has reacted so positively to this morning's RNS.

Only a proportion of the increased marketing spend to payback in H2.

"Alongside this exceptional marketing spend, the Group has also focused on price competitiveness to continue to drive long term market share gains."

That's what a supermarket might call "investment in price"? i.e. cutting margins.

They seem more focussed on "growth in awareness of the brand", rather than growth in profits. Perhaps this is the right thing to do at this stage. We'll see.

[grahamburn] 06/2/2020 09:23

Profit warning in the short-term (first half) but probably a gradual turnround in second half.

[nw99] 06/2/2020 08:06

Yes not good

[middlesboroughfc] 06/2/2020 08:03

Looks a bit profit warning ish

[gwr7] 06/2/2020 07:54

A trading update without an update on trading. Marvellous.

[albanyvillas] 29/1/2020 07:56

Here’s how coronavirus spreads on a plane—and the safest place to sit
Global travel opens new roads for outbreaks, like coronavirus and the flu—but which is more dangerous, and how can you stay safe?
6 MINUTE READ
BY AMY MCKEEVER

PUBLISHED JANUARY 28, 2020

WHEN AN OUTBREAK strikes, it is natural to become leery of hopping on an airplane. It is even more alarming when two serious viruses are circulating at once.

The world is gripped by a new coronavirus that started in China and has since moved into nearly 15 other countries, including the United States. Meanwhile, it is also flu season, which so far has caused 8,200 deaths in the U.S.

Though major airports have begun screening passengers for the coronavirus, it may not provide much solace to anyone who has to board a flight. After all, you can avoid the person who is sneezing in line at Cinnabon, but you’re more or less left to fate once you’ve strapped on that seatbelt inside a flying metal canister.

[nw99] 28/1/2020 20:40

Foreign Office warns against 'all but essential travel' to China

[nw99] 27/1/2020 07:48

Just to put things into perspective: The Coronavirus epidemic has a likely huge impact on tourism from #China to the rest of the world, ADMISI's Ostwald says.

[snorkelparker] 27/10/2019 01:31

Melody, I see you are short what do you base this decision on... I'm interested as feel that the valuation is to high also., started thinking when it was 390 which would have cost me. I'm long jet2 and think with easyjet starting packages.. Otb will come under pressure and not have the size etc to grow at the rate the valuation might suggest.. Maybe after this little bounce it might be worth a short..

[melody9999] 22/10/2019 07:42

well thats a cop out. No numbers at all. Just a re=iteration of this from 09 august.

As a result, the Group anticipates delivering a full year performance below the Board's expectations.

[melody9999] 21/10/2019 16:46

Gis....I don't make that read across ....in fact I am short OTB so tomorrow should be interesting. But DTG was and is the banker... especially as they deal closely with Hays...and so are likely to pick up a substantial share of the tcg business whilst OTB are scrambling to rebook existing tcg flight bookings.

[lomax99] 18/10/2019 16:47

Useful purchase by Axa.

[gisjob2] 14/10/2019 08:35

But OTB have already stated issues and costs associated with Thomas Cook demise and trading updates mentioned issues due to link to sterling price, so DTG trading update may be positive but it would be a brave man to read that across to OTB. Let's see what the results say, I doubt they will be as positive as DTG

[melody9999] 12/10/2019 17:51

DTG trading statement ignited sector.

[gisjob2] 11/10/2019 11:41

How is this rising ? Is there something I've missed ?

[melody9999] 09/10/2019 22:30

Hays Travel acquisition reduction in agent competition benefit no longer applies

[melody9999] 26/9/2019 23:50

Thomas Cook - impacts for OTB

-ve
Reduction of flights / package holidays available - 6.7M less chances to earn commission - offset by increased capacity from TUI Jet2 etc and increased prices meaning higher commission per booking.

+ve
* Increased demand for Classic Collection as agents scramble to re-book TCG pax- plus opportunity to raise prices and margins
* TC agents closing mean less competition for OTB agent

Short term impact is all negative as far as I can see - massive administrative burden compounded by loss of commission on TCG bookings. -

[gisjob2] 26/9/2019 17:39

Lets see what that means in Profits when they're tied so closely to the value of the pound.

[lomax99] 26/9/2019 02:08

Shares magazine, re TC demise:On The Beach is well positioned to profit from the situation, but will likely suffer shorter term costs. Historically 15% to 20% of its flights were booked using Thomas Cook so the company will have to find alternative arrangements, which will inevitably be more expensive.Analysts at Liberum believe the company will take around a £7m hit, higher than the £2m charge it booked due to the Monarch collapse.However there will be opportunities to grab market share in light of the company's Classic Package Holidays business which boasts over 1,300 agents on its business-to-business portal.The effects should crystallise in the second half of next year with more significant benefits from 2021 onwards. Liberum calculates that if the company were to hold its current market share, it could see revenues increase by close to a third.

[pireric] 24/9/2019 17:04

Reduced competition in the market. So short term negative Vs potential bigger mid term positive

[gisjob2] 24/9/2019 16:19

I'm mystified too ! Very strange especially after the RNS statement about Thomas Cook. I thought this would be going the other way.