Hostelworld today said its projected earnings for the full year are in line with expectations as it wraps up a strategic review to boost bookings in the coming years.
The Dublin-based company said earnings before interest, taxes, depreciation and amortisation are on track to meet the board’s expectations, but that like-for-like bookings are likely to remain flat.
In a trading update the online booking platform said effective cost management is helping to offset the flat growth, which it blamed on a decline in its supporting brands.
Hostelworld chief executive Gary Morrison said: “We are operating in an attractive and growing market, with a strong and trusted brand, providing relevant and valuable customers to the hostel sector.
“We will invest in our core products, platform and capabilities as we strive to improve the hostelling experience for travellers and enhance our technology offering for the benefit of our core hostel partners.”
The forecast comes after a six-month strategic review aimed at steering the company back to growth.
Hostelworld said it has strengthened its management team and will address a lack of investment in its core platform.
The additional investment will take place in 2019, with Hostelworld hoping to see a growth in bookings in 2020.
The company also plans to improve its customer booking experience next year.