Summer profits fall as lastminute.com sees ‘challenging’ UK market 

Net profit at lastminute.com fell by 67% to less than €2 million in the peak summer quarter amid a “challenging” UK market.

 

The OTA reported the year on year reduction from €5.7 million to €1.9 million despite a 17% rise in revenues to €101.3 million.

 

The net profit for the first nine months was reported at €9.7 million, down 38% from €15.7 million recorded in the same period a year earlier.  

 

The packages segment - the largest proportion of the company’s business - in the third quarter saw revenues rise by 11% to €65.7 million.

 

“This positive result was achieved despite a challenging UK market, where investment was strategically reduced, and a highly competitive pricing environment in France,” the firm said.  

 

The company’s cruise division, which primarily operated in the Italian market under the Crocierissime brand, will cease operations “as part of the group’s commitment and long-term focus on consolidating and strengthening its core high-growth segment”.

 

The Crocierissime trademark and domain have been sold to Cruiseline, one of the European specialist leaders in the segment. 

 

“The financial impact of the closure is reflected in the non-recurring items, with a one-off impact of approximately €6.8 million, including restructuring and impairment costs, net of the consideration from the sale,” the company said.

 

However, lastminute.com expects overall revenues to reach €450 million in 2028, with adjusted earnings [ebitda] increasing by more than €70 million.

 

“This reflects the continued demand for travel and effectiveness of lastminute.com’s package-led strategy,” a statement said.

 

Chief executive Alessandro Petazzi said: “We are pleased with our third-quarter results, reflecting strong financial and operational performance across all segments during the peak summer period. 

 

“Our customer offer and brand campaign resonated well with customers seeking great value, personalised, last-minute holiday deals. 

 

"As a result of our performance and strong cost control, we are upgrading our adjusted ebitda expectations for the full year 2025. 

 

“Looking ahead, we expect demand for travel to remain robust. We are well placed to capture this demand, supported by our ongoing evolution from provider to a true travel companion, while continuing to execute our growth strategy.”

 

Chief financial officer Diego Fiorentini said: “We are seeing accelerated growth, with marketing investments delivering tangible returns, disciplined cost control, and restructuring driving effienicies - all supporting strong cash generation and an upgraded guidance outlook.”