Lastminute claims ‘competitive advantage’ with late bookings following Middle East conflict

Lastminute.com has capitalised on its brand name to attract late bookings to the likes of Spain and Portugal after initial travel hesitation due to the Iran war.

 

The OTA, delivering improved first quarter financial results, noted: “With Middle Eastern geopolitical headwinds shifting demand, our multi-market European presence ensured resilience. 

 

“By leveraging both core and expansion markets, alongside a diversified product offering of standalone flights, hotels and packages, the group maintained its positive performance.

 

“The lastminute.com brand name also gave the business a competitive advantage in the late-booking window.

 

“This meant lastminute.com could capture demand for beach destination favourites, like Spain and Portugal, alongside major European cities after initial booking hesitation was overcome.” 

 

The company reported first quarter revenue rising by 8% year on year to €96.4 million. The figure was up 9.7% when excluding the impact of a discontinued cruise business.

 

Growth was driven by “sustained demand” and strong transaction volumes, particularly in flights.

 

Targeted marketing investment was increased, with a focus on volume to capture shifting consumer demand, according to the company.

 

Adjusted earnings [ebitda] increased by 6% to €15.3 million, “reflecting solid profitability, despite cancellations and re-protections linked to the geopolitical situation in the Middle East”.

 

This came as a strong start to the year in January and February was followed by a “softer” March, reflecting market and geopolitical volatility.

 

The overall performance was positive and remained ahead of 2025, according to the company.

 

Lastminute.com’s flight inventory went live in ChatGPT in OpenAI, marking “tangible progress” in the group’s AI strategy.

 

The group maintained previously issued full year financial guidance of about 10% growth in both revenue and adjusted earnings.

 

Chief executive Alessandro Petazzi (pictured) said: “Our Q1 performance reflects the structural resilience of our business model and the continued demand for travel. 

 

“We had a strong start to the year and our diverse presence across Europe has enabled us to respond to the evolving situation in the Middle East.

 

“We are well-positioned to benefit from the late booking trend and our wide-ranging product mix, flexible booking options and AI integration will stand us in good stead for the future.”