In the six months to 31 March, Classic reported a £1.3 million operating loss, down from the £200,000 profit recorded the previous year, due to an increase in overheads following last year’s restructuring, which saw the company combine its two brands – Classic Collection Holidays and Classic Package Holidays – into a single trade-focused entity.

Nevertheless, the company reported £4.8 million in revenue, up from £3.6 million last year, after bookings surged by 36% to reach more than 10,000.

“Further strategic developments at the end of the first half, including improved customer access to Ryanair flight inventory and the launch of Classic Collection in Ireland, give us confidence that the segment can return to profitability in the second half [of the year],” On the Beach said in a statement on Tuesday (13 May).

In late January, Classic announced it would expand into the Irish market, initially offering departures from five Irish airports – Cork, Dublin, Kerry, Knock and Shannon – to selected partners before a wider launch to the Irish travel trade.

Meanwhile a month prior, B2B director Si Morris-Green told TTG the deal to package Ryanair flights – inked in September 2024 following peace talks between the low-cost carrier and On the Beach – would open up new markets for agents selling Classic.

“The partnership enables us to offer value packages to our trade partners,” Morris-Green said. “It doesn’t matter what the price point is, Ryanair just offers good value for money.”

Classic Collection’s disappointing results come despite On the Beach predicting its biggest summer ever after reporting adjusted earnings before interest, taxes, depreciation and amortisation of £12 million – 19% up on last year’s levels.