Dublin and London-listed online booking platform Hostelworld reported a 2% rise in group bookings during the first six months of the year to over four million.
However, net revenue was down 9% to €42.6m and net profit fell 26% to €7.6m.
This was largely due to the impact of deferred revenue, which was expected.
€4.2m of revenue was generated during the period from free cancellation bookings and this has been deferred and will be recognised in future periods.
Hostelworld's average commission rat increased by 1.1% to 15.3% in H1.
CEO Gary Morrison said the World Cup and "the unusually hot weather in Europe have" led to a "softness in bookings in the peak summer months of July and August".
He warned that "if these trends continue like for like, growth in Group bookings is likely to be flat for the full year given the expected declines in our supporting brands."
In response, Hostelworld CEO said the company is continuing "rigorous cost control" measures.
Hostelworld also today announced the appointment of TJ Kelly as its new Chief Financial Officer and a Director of the Group, with effect from 21 November.
