eDreams ODIGEO delivers solid results, outperforming revenue margin, Adjusted EBITDA and top end of cash guidance, strong 4Q as guided

Barcelona, 25 June 2019 – eDreams ODIGEO (www.edreamsodigeo.com), Europe’s largest online travel company and one of the largest European e-commerce businesses, today reported its results for the twelve months ended 31st March, 2019.


  • Revenue Margin €533 million – up 5%
  • Adjusted EBITDA €119.6 million – up 1%
  • Adjusted Net Income €40.2 million – up 25%
  • Mobile represents 39% of total flight bookings
  • Revenue Diversification represents 44% of total revenues
  • Product Diversification reached 72%
  • Successfully completed revenue model shift
  • Developed, tested and launched a unique subscription programme offering called “Prime”
  • Anticipate growth in Bookings and Revenue Margin (4% to 7% vs fiscal year 2019), and Adjusted EBITDA in the range of €130-134 million for fiscal year 2020

Dana Dunne, CEO of eDreams ODIGEO said:

“For the fourth consecutive year, our company has delivered a strong performance and a solid set of results. We are proud to have outperformed our full-year guidance while we have continued to successfully execute strategic initiatives that have positioned our business in a much stronger position that will ensure long-term and sustainable growth. We are also excited to have achieved important milestones this year, with the completion of the transformation of our company and the launch of Prime, a unique subscription programme for travel. The combination of our market-leading mobile penetration, our advanced capabilities in artificial intelligence and the revolutionary Prime offer are an ideal platform from which to launch our next phase of growth.”

Business Overview

We delivered a solid financial performance in the fiscal year 2019, with 5% increase in Revenue Margin principally due to an increase in revenue margin per booking of 10%. Adjusted EBITDA was up 1% to €119.6 million in fiscal year 2019, outperforming initial guidance of €118 million, with performance reflecting investments made during the year. In line with our guidance, Adjusted EBITDA grew 37% in the fourth quarter of fiscal year 2019.  Additionally, we have also continued to successfully diversify our offering for the benefit of customers towards mobile, which represents on average 39% of our bookings for the period.

Diversification Revenues continue to drive growth as the largest revenue contributor, with revenues increasing by 32% in fiscal year 2019. Diversification Revenues have surpassed Classic Customer Revenues and are now the largest revenue source. This impressive growth was capable of more than offsetting our intentional reduction in Classic Customer Revenue which has decreased to account for 37% of the Group’s Revenue Margin in fiscal year 2019 down from 45% in fiscal year 2018.

As an intended consequence of our revenue model shift, product diversification ratio and revenue diversification ratio have increased to 72% and 44% in fiscal year 2019 from 25% and 27% in fiscal year 2015, a remarkable 47 and 17 percentage point expansion in only 4 years, respectively. Notably, both dynamic packages and ancillaries continue to report strong Revenue Margin growth. Continued investment in mobile resulted in accumulated mobile downloads up 43% in fiscal year 2019, with mobile now representing 39% of total flight bookings, exceeding the industry average.

In fiscal year 2019 Gross Leverage Ratio remained relatively flat at 3.7x in March 2019 vs 3.6x in 2018, still providing us with ample headroom against our leverage covenant.

Net income totalled €9.6 million as a result of the explained revenue and costs evolution, notably the financial costs related to the refinancing of our 2021 Senior Notes for a total amount of €28.5 million (after tax). The favourable pricing terms of the new Bond will allow the Company to reduce the coupon of its bond by 300 basis points and save more than €12 million in annual interest resulting in a significant improvement of its free cash flow generation.

Adjusted Net Income, which better reflects the real ongoing operational performance of the business, reached €40.2 million, up 25% vs fiscal year 2018.

Summary Income Statement

Business review by geography

The top 6 markets (France, Spain, Italy, Germany, United Kingdom and the Nordics) reached €418.1 million in revenue margin in fiscal year 2019, up 2% vs fiscal year 2018. This performance was driven by the accelerated investment in the strategic shift of our revenue model in fiscal year 2019.

Revenue diversification drives growth in the rest of markets (referred as “Rest of the World markets”), 21% CAGR over the past 4 years and 21% growth in fiscal year 2019 vs fiscal year 2018.

Strategy Update

Our top strategic priorities in fiscal year 2020 and onwards are to move from a transaction to subscription model and to engage with the customer throughout the full travel journey, while building out our mobile offering.

We are dedicated to further developing our diversification strategy in order to meet our travellers needs at all stages of their travel experience and are investing heavily in the post sales phase.

We will continue to test and refine our subscription programme´s core proposition, expand to other products and services and rollout across new geographies to ensure we can give our customers peace of mind on best prices while reducing the time they spend comparing offers.


We expect fiscal year 2020 to be a much better year than fiscal year 2019, but it will still not reflect all our underlying potential as we have major markets with less than 12 months with the new revenue model.

In the first quarter, reflecting the seasonality and investments we made to complete successfully the shift in the revenue model in fiscal year 2019, we expect low single digit revenue margin growth, reduction in bookings and solid adjusted EBITDA growth rates.

From the second quarter onwards we expect growth in Bookings, Revenue Margin and Adjusted EBITDA, in line with our full year guidance. There will be quarterly variations, due to the timing of changes we made in the last fiscal year.

As a result, we expect annual targets for fiscal year 2020 to be:

  • Bookings to increase from 4% to 7% vs fiscal year 2019
  • Revenue margins to increase from 4% to 7% vs fiscal year 2019
  • Adjusted EBITDA in the range of €130 to €134 million

About eDreams ODIGEO eDreams ODIGEO is one of the world’s largest online travel companies and one of the largest European e-commerce businesses. Under its leading online travel agency brands – eDreams, GO Voyages, Opodo, Travellink, and the metasearch engine Liligo – it offers the best deals in regular flights from 660 airlines, hotels, cruises, car rental, dynamic packages, holiday packages and travel insurance to make travel easier, more accessible, and better value for the 18 million customers it serves across 46 markets. eDreams ODIGEO is listed on the Spanish Stock Market.