Sunseekers’ summer rush rescues On The Beach after pandemic slump left it nursing a £34.1m loss
Families rushing to book holidays have lifted On the Beach as lockdown restrictions begin to ease.
After a dismal few months following the coronavirus outbreak, the group reported a ‘significant’ surge in demand since mid-June.
The improved outlook came as On the Beach swung to a half-year loss after cancelled trips left it nursing a loss of £34.1million in the six months to March 31 against profits of £11.9million a year earlier.
Here comes the sun: After a dismal few months following the coronavirus outbreak, On the Beach reported a ‘significant’ surge in demand since mid-June
Before the crisis the demise of rival Thomas Cook had lifted summer business by 29 per cent. But bookings dried up and cancellations piled up.
Next summer’s bookings remain low, though they are sharply higher than a year earlier as airlines have been releasing flights early in an attempt to get trading back on track following the lockdown.
On the Beach recently tapped shareholders for £65million to help it emerge stronger from the coronavirus crisis.
It also increased its existing overdraft, with a £25million credit facility with Lloyds Bank. Shares in the group fell 2.5 per cent, or 7.5p, to 294.5p.