Investing.com-- Shares of Web Travel Group (ASX: WEB ) surged to a seven-month high on Wednesday after the company said its annual net profit almost tripled, boosted by the successful demerger of its B2C businesses and strong performance from its core WebBeds B2B travel division.
The travel services provider reported a 196% jump in full-year statutory net profit after tax (NPAT) to A$201.5 million for the year ended March 31, 2025.
The surge was driven by a A$190.4 million profit contribution from discontinued operations and a gain on the demerger of Webjet Group.
On a continuing basis, however, underlying NPAT fell 22% to A$79.2 million, as revenue gains of 1% were offset by higher operating expenses and softer transaction margins.
Total transaction value (TTV) rose 22% year-on-year to A$4.87 billion, with bookings climbing 20% to 8.4 million.
Shares of the company surged as much as 17% to their highest level since October 2024, and were trading 13% higher at A$5.30 at the time of writing.
CEO John Guscic acknowledged margin pressure from geographic and supply mix changes but reaffirmed long-term targets, including A$10 billion in TTV and 50% EBITDA margins by FY30.