The urge to travel the world among millennials helped hostel group Safestay PLC’s (LON:SSTY) revenues surge ahead in 2018.
Revenues rose 39% to £14.6mln and occupancy rose to 75.6% as the 18-34-year-old customer base continued to mosey around Europe.
READ: Millennials the way forward for Safestay's hostels business
Safestay now has 2,762 beds as new hostels were acquired in Barcelona, Brussels and Vienna with fifteen other cities in Europe earmarked for sites.
Underlying profits [EBITDA] over the year will be £3.4mln (£3.2mln).
The company adds that the market is growing at 5% and a £10.4mln fundraise in December will allow to carry out its planned expansion.
Larry Lipman, the chairman, said: "The focus is to grow the brand and the company has the capital to support an increase from the 13 sites today to over 20, at which point the business will become self-funding and increasingly gain from economies of scale and brand growth."
Shares rose 3% to 34.5p.