On Beach : Annual report and accounts for the year ended 30 September 2022

On the Beach Group plc

Annual Report & Accounts

For the year ended 30 September 2022

TOTAL FINANCIAL P R O T E C T I O N

Our Purpose

To make it easy for people to find, book and enjoy their perfect beach holidays

Our Vision

To build Europe's leading beach holiday

retailer via a single platform,

multi-brand strategy

What we do

We are the UK's third largest ATOL

holder. By using our innovative

technology, low-cost base and strong customer-value proposition to provide a structural challenge to legacy tour operators, we continue our journey to disrupt the retail of beach holidays. Our model is customer-centric,asset-light, profitable and cash generative

Our Values

We live by our core values

Directors' biographies

Contents

Our history timeline Report from the Chairman

Strategic Report

Chief Executive's Review

Core business model and Growth Strategy

Key performance indicators Financial review

Risk management Viability statement

Section 172 and stakeholder engagement

Responsibility and sustainability

Non-financial information statement

02 Governance

05 Chairman's introduction

11 Corporate Governance statement

18 Report of the Nomination Committee

21 Report of the Audit Committee

29 Remuneration report

36 Remuneration at a glance

50 Remuneration policy

53 Annual report on remuneration

	Other statutory and regulatory
61	disclosures

83 Independent auditor's report to the members of On The Beach

Group plc

Statement of Directors' responsibilities

Financial Statements

87

Consolidated Income

164

88 Statement and Statement of Comprehensive Income

92	Consolidated Balance Sheet	165
103
Consolidated Statement	166
107	of Cash Flows
Consolidated Statement of	167
115
Changes in Equity
118
Notes to the Consolidated	168
120
Financial Statements
133
Company Balance Sheet	206
146
Company Statement of	207
152	Changes in Equity
Notes to the Company	208
	Financial Statements
160	Glossary of Alternative	210
Performance Measures ('APMs')
	Shareholder information	217

Financial Highlights

GROUP REVENUE	GROUP TTV1
£144.1m	£856.1m
FY21: £21.2m  |  FY20: £33.7m	FY21: £238.3m  |  FY20: £500.5m
REVENUE AS AGENT	GROUP BOOKINGS2
£93.6m	478.6k
FY21: £14.7m  |  FY20: £16.8m	FY21: 137.7k  |  FY20: 333.4k
REVENUE AS PRINCIPAL	CASH
£50.5m	£64.5m
FY21: £6.5m  |  FY20: £16.9m	FY21: £56.0m  |  FY20: £36.5m
	ADJUSTED PROFIT/(LOSS)
PROFIT/(LOSS) BEFORE TAX	BEFORE TAX3
£2.1m	£14.1m
FY21: (£36.7m)  |  FY20: (£46.3m)	FY21: (£18.4m)  |  FY20: £0.6m

TRUST ACCOUNT

£69.4m

FY21: £39.0m  |  FY20: £25.8m

1. Group Total Transaction Value ("TTV") is a non- GAAP measure representing the cumulative total transaction value of sales booked each month before cancellations and adjustments.
2. Group bookings is a non-GAAP measure representing the total number of bookings made in the year.
3. A full reconciliation of all non-GAAP measures to the closest equivalent GAAP measure is included in the glossary.

ANNUAL REPORT & ACCOUNTS 2022  |  ON THE BEACH GROUP PLC01

Our history timeline

From humble beginnings in 2004 as a start-up business, to our 2015 listing on the London Stock Exchange; we have come a long way. We make it easy for people to find, book and enjoy their perfect beach holiday and with significant opportunities for growth, we're on a long-term mission to become Europe's leading beach holiday retailer via a single platform, multi-brand strategy.

2004	2007

Livingbridge acquired

a majority stake

2007

2011

2004
Established by	2011
Simon Cooper
79% of the Group's
	bookings were
	made online

2013

Inflexion acquired a majority stake

2013

2015

Launched its first international platform in Sweden. Listed on the London stock exchange

2016

2015

2014

2016

Achieves outstanding profit growth against a challenging market backdrop

2014

On the Beach grew its direct contracting and invested in TV advertising

02    ON THE BEACH GROUP PLC|  ANNUAL REPORT & ACCOUNTS 2022

INTRODUCTION

2017

Acquired Sunshine.co.uk

Limited. Launched in Norway

2017

2018

Acquired Classic Collection. Soft launch in Denmark

2019

Launched Classic Package

Holidays. Opened a new

Digital HQ in Manchester.

Launched long haul

2018

2019

2020

2020

Raised £67m as a result of a share placing. Redesigned customer booking path

2021

Raised £24.9m as a result of a share placing. Offered free Covid-19 tests in an industry first

2022

2021

2022

First mainstream holiday company to offer free lounge and fast track on bookings. Delivered good sales growth despite another challenging year for the travel sector

ANNUAL REPORT & ACCOUNTS 2022  |  ON THE BEACH GROUP PLC03