Weather Tests Experience Co’s Adventure Growth Despite Strong Financials

Strong Finish to FY25 Despite Weather Headwinds

Experience Co Limited (ASX – EXP), a leader in adventure tourism, has delivered a robust unaudited trading update for the fourth quarter and full fiscal year ending June 2025. The company reported a 6% increase in total sales revenue to $134.3 million and a 34% jump in underlying EBITDA to $19.3 million, underscoring a strong recovery and growth trajectory despite some adverse weather impacts in the latter part of the year.

April saw particularly strong trading across the group’s portfolio, which includes skydiving operations in Australia and New Zealand as well as adventure experience brands such as Reef Unlimited and Treetops Adventure. However, May and June were affected by less favourable weather conditions, which tempered volume growth but were partially offset by higher average revenue per customer.

Skydiving Segments Lead Growth

The skydiving business remains a key growth driver. Skydive Australia reported a 12% volume increase at operating sites, excluding two locations placed into care and maintenance, while Skydive New Zealand volumes rose by 4%. Both divisions maintained their leading market share positions in their respective countries. Improved operational efficiencies and load management contributed to better site margins, reflecting management’s ongoing focus on enhancing segment returns.

Strong demand for photo and video packages in Australia also helped lift average revenue per customer, supporting overall revenue growth despite the weather-related volume softness in the final quarter.

Adventure Experiences Show Resilience

The Adventure Experiences segment, comprising Reef Unlimited, Treetops Adventure, and Wild Bush Luxury, also posted revenue growth despite a slight decline in visitor numbers. Reef Unlimited’s revenue grew by 5%, buoyed by improved per-customer spending that offset lower volumes caused by weather and the timing of school holidays. Treetops Adventure saw a 4% revenue increase, supported by stronger average spend per visitor. Wild Bush Luxury delivered a notable 14% revenue rise, helped by exclusive corporate bookings at Arkaba Homestead and strong demand for The Maria Island Walk.

Financial Discipline and Shareholder Returns

Experience Co continued to prioritise free cash flow generation, reporting positive free cash flow for the year. The company also initiated an on-market share buy-back program in June 2025, signaling confidence in its financial position and future prospects. Early trading in July 2025 remains positive, with forward bookings across all key business units exceeding prior corresponding period volumes, suggesting momentum heading into the new fiscal year.

While the results are unaudited and subject to final audit adjustments, the company’s performance highlights a resilient recovery in adventure tourism demand, supported by operational improvements and strategic initiatives.