- Travel company On the Beach posted a 24% rise in full-year profit after riding out a slump in demand caused by hot UK summer weather by cutting its marketing spend.

Pre-tax profit for the year through September rose to £26.1m, as revenue climbed 25% to £104.1m.

The company declared total dividend payments for the year of 3.3p, up 18% on-year.

Chief executive Simon Cooper said the profit improvement came despite the exceptionally hot weather in the UK and the Nordics combing with the World Cup to suppress holiday demand.

'Whilst this impacted our headline revenue growth during the period, the weaker demand also drove a significant reduction in the group's marketing spend, ensuring growth in revenue after marketing costs remained strong,' Cooper said.

'This is further testament to On the Beach's resilient and flexible business model.'

Cooper said that although the first quarter of its financial year was historically its quietest period, the company could report a 'strong' early trading performance, supported by a slightly earlier release of summer capacity by budget airlines and lower winter seat prices.

'This current performance is in line with our expectations and the board believes the business is well positioned for the key trading period that commences in late December and continues into the first quarter of 2019,' he said.

'Whilst the consumer environment continues to be challenging, we remain confident in the resilience and flexibility of our business model.'

'The board will also continue to evaluate acquisition opportunities that will both increase scale and deliver value for shareholders.'

Story provided by