Half Year 2026 Asmallworld AG Earnings Call

[Company Representative] (ASMALLWORLD): Judson, the Chief Executive Officer of ASMALLWORLD, and I would like to welcome everyone to this earnings call for the H1 2026. We will be live streaming these results via Zoom, while also sharing some accompanying slides to add further detail to our half year report, which will be published early this morning on our website. This presentation and the recording of the call will be available at asmallworldag.com. In terms of housekeeping, participants will be muted for the presentation, and then we will have a live chat function so that we can take any questions at the end of the presentation.

Zain Richardson: Richardson, the Chief Executive Officer of ASMALLWORLD, and I would like to welcome everyone to this earnings call for the H1 2026. We will be live streaming these results via Zoom, while also sharing some accompanying slides to add further detail to our half year report, which will be published early this morning on our website. This presentation and the recording of the call will be available at asmallworldag.com. In terms of housekeeping, participants will be muted for the presentation, and then we will have a live chat function so that we can take any questions at the end of the presentation.

Speaker #1: This is the Chief Executive Officer of ASMALLWORLD, and I would like to welcome everyone to this earnings call for the first half of 2026.

Speaker #1: We will be live-streaming these results via Zoom, while also sharing some accompanying slides to add further detail to our half-year report, which will be published early this morning on our website.

Speaker #1: This presentation and the recording of the call will be available at asmallworldag.com. In terms of housekeeping, participants will be muted for the presentation, and then we will have a live chat function so that we can take any questions at the end of the presentation.

Speaker #1: So just, it's sufficient to say I am now nearly 18 months into my role as Chief Executive Officer of ASmallWorld, and I wanted to really share with this group—as the team knows—I'm very proud of the progress we've been making on our transformation journey.

[Company Representative] (ASMALLWORLD): Just, it's suffice to say I am now nearly 18 months into my role as Chief Executive Officer of ASMALLWORLD, and I wanted to really share with this group, but as the team know, I'm very proud of the progress we've been making on our transformation journey. In terms of the agenda for the morning. Today I'll be sharing an overview of our H1 2026 performance across our key metrics that we share in each of our earnings calls. I will then cover some of our key initiatives and the strategic priorities for the business and give an update on our progress against them since we last shared as part of our end of year 2025 report and presentation.

Zain Richardson: Just, it's suffice to say I am now nearly 18 months into my role as Chief Executive Officer of ASMALLWORLD, and I wanted to really share with this group, but as the team know, I'm very proud of the progress we've been making on our transformation journey. In terms of the agenda for the morning. Today I'll be sharing an overview of our H1 2026 performance across our key metrics that we share in each of our earnings calls. I will then cover some of our key initiatives and the strategic priorities for the business and give an update on our progress against them since we last shared as part of our end of year 2025 report and presentation.

Speaker #1: In terms of the agenda for the morning, today I'll be sharing an overview of our H1 2026 performance across our key metrics that we share in each of our earnings calls.

Speaker #1: I will then cover some of our key initiatives and the strategic priorities for the business, and give an update on our progress against them since we last shared, as part of our end-of-year 2025 report and presentation.

Speaker #1: I'll then go through the segment reporting to show how those segments have been performing, and then look at the consolidated financials and financial statements for the business for the first half of 2026, in comparison to the same period last year.

[Company Representative] (ASMALLWORLD): I'll then go through the segment reporting to show how those segments have been performing, and then looking at the consolidated financials and financial statements for the business for the H1 2026 in comparison to the same period last year. I'll then share our outlook for the full year 2026 from a financial perspective. Then we will close with some time for some brief Q&A. With that, I'll move us to the overview of our H1 2026 performance. In terms of some highlights for this audience, I would say that our strategic transformation is well underway, and we've been able to accelerate in 2026 in multiple different ways. Both in terms of broadening our core offering, both in memberships and services, as well as more importantly, strengthening our profit-generating capabilities across the business. A couple of key highlights.

Zain Richardson: I'll then go through the segment reporting to show how those segments have been performing, and then looking at the consolidated financials and financial statements for the business for the H1 2026 in comparison to the same period last year. I'll then share our outlook for the full year 2026 from a financial perspective. Then we will close with some time for some brief Q&A. With that, I'll move us to the overview of our H1 2026 performance. In terms of some highlights for this audience, I would say that our strategic transformation is well underway, and we've been able to accelerate in 2026 in multiple different ways. Both in terms of broadening our core offering, both in memberships and services, as well as more importantly, strengthening our profit-generating capabilities across the business. A couple of key highlights.

Speaker #1: I'll then share our outlook for the full year 2026 from a financial perspective. Then we will close with some time for a brief Q&A.

Speaker #1: With that, I'll move us to the overview of our H1 2026 performance. In terms of some highlights for this audience, I would say that our strategic transformation is well underway, and we've been able to accelerate in 2026 in multiple different ways.

Speaker #1: Both in terms of broadening our core offering—both in memberships and services—as well as, more importantly, strengthening our profit-generating capabilities across the business.

Speaker #1: A couple of key highlights: We grew our member base, relative to H1 2025, by 23%, and at the end of June 2026, we stand at just under 135,000 members within our member base, which is fantastic to see.

[Company Representative] (ASMALLWORLD): We grew our member base relative to H1 2025 by 23%, and at end of June 2026, we stand at just under 135,000 members within our member base, which is fantastic to see. As I've shared before, this member base is a mix of free and paid tiers across our different business units. We continue to grow both the free and the paid side, and we're excited for that growth and the opportunity it presents. We continue to accelerate our growth in particularly now services business. As I've shared on previous earnings calls, we had been very heavily concentrated in the membership side of the business, and a strategic priority of mine and the board's has been to really diversify that revenue base and also cost base. Oh, sorry, excuse me. Profit opportunity across both memberships and services.

Zain Richardson: We grew our member base relative to H1 2025 by 23%, and at end of June 2026, we stand at just under 135,000 members within our member base, which is fantastic to see. As I've shared before, this member base is a mix of free and paid tiers across our different business units. We continue to grow both the free and the paid side, and we're excited for that growth and the opportunity it presents. We continue to accelerate our growth in particularly now services business. As I've shared on previous earnings calls, we had been very heavily concentrated in the membership side of the business, and a strategic priority of mine and the board's has been to really diversify that revenue base and also cost base. Oh, sorry, excuse me. Profit opportunity across both memberships and services.

Speaker #1: As I've shared before, this member base is a mix of free and paid tiers across our different business units, and we continue to grow both the free and the paid side. We're excited for that growth and the opportunity it presents.

Speaker #1: We continue to accelerate our growth, particularly in our services business. I have, as I've shared on previous earnings calls, we had been very heavily concentrated in the membership side of the business, and a strategic priority of mine and the boards has been to really diversify that revenue base and also cost base, sorry, excuse me, profit opportunity across both memberships and services.

Speaker #1: And we've seen great progress against that, specifically in our travel business, which saw over 3x profit growth year-over-year since 2025. Continuing in that vein, we developed and launched a new global paid concierge service, with the strategic aim of both diversifying our membership offering and increasing our revenue streams per member that we serve.

[Company Representative] (ASMALLWORLD): And we have seen great progress against that, specifically in our travel business, which saw over 3x profit growth year-over-year since 2025. Continuing in that vein, we developed and launched a new global paid concierge service with the strategic aim of both diversifying our membership offering, but also increasing our revenue streams per each member that we serve. I will share more in the presentation of our progress so far with that service and what that means for the business. Then, as you know, our focus has really been about diversifying and broadening our ecosystem of travel partners, both the partners that we use as suppliers within our travel business, but also those travel partners that provide benefits, access, currency, status, et cetera, to our membership portfolio.

Zain Richardson: And we have seen great progress against that, specifically in our travel business, which saw over 3x profit growth year-over-year since 2025. Continuing in that vein, we developed and launched a new global paid concierge service with the strategic aim of both diversifying our membership offering, but also increasing our revenue streams per each member that we serve. I will share more in the presentation of our progress so far with that service and what that means for the business. Then, as you know, our focus has really been about diversifying and broadening our ecosystem of travel partners, both the partners that we use as suppliers within our travel business, but also those travel partners that provide benefits, access, currency, status, et cetera, to our membership portfolio.

Speaker #1: And I'll share more in the presentation of progress so far with that service and what that means for the business. And then, as you know, we are focused has really been about diversifying and broadening our ecosystem of travel partners, both the partners that we use as suppliers within our travel business, but also those travel partners that provide benefits, access, currency, status, etc., to our membership portfolio.

Speaker #1: And we were successful in launching two new global travel partners, which I'll share more of, and I'm pleased to share that we are at signature point on two more, which I'll be thrilled to share in the coming weeks.

[Company Representative] (ASMALLWORLD): And we were successful in launching two new global travel partners, which I will share more of. I am pleased to share that we are at signature point on two more, which I will be thrilled to share in the coming weeks. Moving on to the KPIs. So what are the key performance metrics for the business? As I mentioned at the start of this presentation, we are on a journey of transformation. I am very pleased to see that the execution of that transformation has continued to deliver growth in EBITDA over the H1 since I joined at the middle of H2 2025. We continue to also grow our member base. As you see, 23% growth in membership and 11% growth in our EBITDA versus H2 2025.

Zain Richardson: And we were successful in launching two new global travel partners, which I will share more of. I am pleased to share that we are at signature point on two more, which I will be thrilled to share in the coming weeks. Moving on to the KPIs. So what are the key performance metrics for the business? As I mentioned at the start of this presentation, we are on a journey of transformation. I am very pleased to see that the execution of that transformation has continued to deliver growth in EBITDA over the H1 since I joined at the middle of H2 2025. We continue to also grow our member base. As you see, 23% growth in membership and 11% growth in our EBITDA versus H2 2025.

Speaker #1: Moving on to the KPIs, what are the key performance metrics for the business? As I mentioned at the start of this presentation, we're on a journey of transformation.

Speaker #1: I'm very pleased to see that the execution of that transformation has continued to deliver growth in EBITDA over the half-year, since I joined at the end of half-year 2020, in the middle of half-year 2025.

Speaker #1: We continue to also grow our member base—as you see, 23% growth in membership and 11% growth in our EBITDA versus half-year 2025.

Speaker #1: This was, again, against the backdrop of a discontinuation of non-core projects, together with—obviously—the conflict in the Middle East impacting some of our membership sales. So, you'll see that 37% decrease in H1 2025 versus H1 2026 in our top-line revenue.

[Company Representative] (ASMALLWORLD): This was against a backdrop of a discontinuation of non-core projects, together with obviously conflict in the Middle East impacting some of our membership sales. So you will see there a 37% decrease H1 2025 versus H1 2026 in our top line revenue. To explain this and give more context, at the end of 2025, we took a hard look at our different business activities and our revenue streams. We asked ourselves what really makes sense for ASMALLWORLD to be doing as a business? What matters most to our members, and what will allow us to accelerate our transformation journey and increase long-term sustainable profitability?

Zain Richardson: This was against a backdrop of a discontinuation of non-core projects, together with obviously conflict in the Middle East impacting some of our membership sales. So you will see there a 37% decrease H1 2025 versus H1 2026 in our top line revenue. To explain this and give more context, at the end of 2025, we took a hard look at our different business activities and our revenue streams. We asked ourselves what really makes sense for ASMALLWORLD to be doing as a business? What matters most to our members, and what will allow us to accelerate our transformation journey and increase long-term sustainable profitability?

Speaker #1: To explain this and give more context: at the end of 2025, we took a hard look at our different business activities and our revenue streams, and we asked ourselves, what really makes sense for Asmallworld to be doing as a business?

Speaker #1: What matters most to our members? And what will allow us to accelerate our transformation journey and increase long-term sustainable profitability? As you will have heard on previous earnings calls, since joining the business in 2025, I have gone through a process of identifying non-core activities where low- to no-margin projects, products, and services had accumulated over time in the business, which were taking organizational focus and also were not accretive to margin in the short or long term.

[Company Representative] (ASMALLWORLD): As you will have heard on previous earnings calls, since joining the business in 2025, I have gone through a process of identifying non-core activities where low to no margin projects, products, services had accumulated over time in the business, which were taking organizational focus and also were not accretive to margin in the short or long term. So there were some difficult decisions. I will get into that in more detail in the presentation. We exited projects that I understand had been believed to have great potential and future for the business, but were a drain on resources and were not appropriate for the business size and position that we are in today. We also took a strategic review of our technology platforms and people, and also personnel across the business. So what does that mean?

Zain Richardson: As you will have heard on previous earnings calls, since joining the business in 2025, I have gone through a process of identifying non-core activities where low to no margin projects, products, services had accumulated over time in the business, which were taking organizational focus and also were not accretive to margin in the short or long term. So there were some difficult decisions. I will get into that in more detail in the presentation. We exited projects that I understand had been believed to have great potential and future for the business, but were a drain on resources and were not appropriate for the business size and position that we are in today. We also took a strategic review of our technology platforms and people, and also personnel across the business. So what does that mean?

Speaker #1: So there were some difficult decisions. I'll get into that in more detail in the presentation. We exited projects that I understand had been believed to have great potential and future for the business, but were a drain on resources and were not appropriate for the business size and position that we're in today.

Speaker #1: We also took a strategic review of our technology platforms and people, and also personnel across the business. So, what does that mean? That means that we made conscious decisions to exit businesses that were supporting our top-line revenue but were a long-term drag on both gross and operating margin, and ultimately EBITDA.

[Company Representative] (ASMALLWORLD): That means that we made conscious decisions to exit businesses that were supporting our top-line revenue, but were a long-term drag on both gross and operating margin, and ultimately, EBITDA. What you will see, and then it will come through in the financial section of the presentation, is that we have taken a business that was around 4% EBITDA in the H1 2025, now over 8% in 2026. Again, my focus is, as I say, to continue this transformation journey, and I will share more in the presentation, while also continuing to ensure that the business is profitable and sustainably profitable for the long term. Now, looking at some of those key initiatives which have driven the results that we have seen today, which we are proud of.

Zain Richardson: That means that we made conscious decisions to exit businesses that were supporting our top-line revenue, but were a long-term drag on both gross and operating margin, and ultimately, EBITDA. What you will see, and then it will come through in the financial section of the presentation, is that we have taken a business that was around 4% EBITDA in the H1 2025, now over 8% in 2026. Again, my focus is, as I say, to continue this transformation journey, and I will share more in the presentation, while also continuing to ensure that the business is profitable and sustainably profitable for the long term. Now, looking at some of those key initiatives which have driven the results that we have seen today, which we are proud of.

Speaker #1: What you'll see coming through in the financial section of the presentation is that we have taken a business that was around 4% EBITDA in the first half of 2025, now to over 8% in 2026.

Speaker #1: And again, my focus is, as I say, to continue this transformation journey—and I'll share more in the presentation—while also continuing to ensure that the business is profitable and sustainably profitable for the long term.

Speaker #1: Now, looking at some of those key initiatives which have driven the results that we've seen today—of which we are proud, as I say—to grow EBITDA significantly against a backdrop of declining, lower top-line revenue base is something that, as a business, is not easy, and something that we as a whole organization are very proud of being able to drive.

[Company Representative] (ASMALLWORLD): As I say, to grow EBITDA significantly against a backdrop of a lower top-line revenue base is something that, as a business, is not easy and something that we are, as a whole organization, very proud of being able to drive. As I mentioned, and as I have shared, since I joined the business, my focus with ASMALLWORLD, I have been a member since 2007. I know the potential this business has, and I know what the opportunity looks like. Together with my team, I know how to build that differentiated profitable growth engine, which ASMALLWORLD can be. The four areas here you see on the slide are not new to those individuals who have joined me on previous earnings calls. But what you will see is some of the renewed focus in those different areas.

Zain Richardson: As I say, to grow EBITDA significantly against a backdrop of a lower top-line revenue base is something that, as a business, is not easy and something that we are, as a whole organization, very proud of being able to drive. As I mentioned, and as I have shared, since I joined the business, my focus with ASMALLWORLD, I have been a member since 2007. I know the potential this business has, and I know what the opportunity looks like. Together with my team, I know how to build that differentiated profitable growth engine, which ASMALLWORLD can be. The four areas here you see on the slide are not new to those individuals who have joined me on previous earnings calls. But what you will see is some of the renewed focus in those different areas.

Speaker #1: As I mentioned, and as I've shared since I joined the business, my focus with a small world, I've been a member since 2007, I know the potential this business has, and I know what the opportunity looks like, and together with my team, I know how to build that differentiated profitable growth engine, which a small world can be.

Speaker #1: The four areas you see here on the slide are not new to those individuals who've joined me on previous earnings calls, but what you'll see is some renewed focus in those different areas.

Speaker #1: So what I'll do is I'll briefly go through what those four strategic priorities are, and then why, and also then I'll dive deep into each one of those and share some highlights on how we are making progress and have made progress in the first half of 2026 against those strategic priorities.

[Company Representative] (ASMALLWORLD): What I will do is I will briefly go through what those four strategic priorities are and why. Also then I will dive deep into each one of those and share some highlights on how we are making progress and have made progress in the H1 2026 against those strategic priorities. First one is around accelerating scale. What does that mean? That means that we need to grow as a business, but not only grow our total member base, which we have been doing, as you saw in previous half year and annual reports, and we have grown our member base significantly. But more than that, the strategic focus now for the business, and has been since the beginning of the year, is scaling our paid memberships and services and ultimately driving share of wallet. What does that mean?

Zain Richardson: What I will do is I will briefly go through what those four strategic priorities are and why. Also then I will dive deep into each one of those and share some highlights on how we are making progress and have made progress in the H1 2026 against those strategic priorities. First one is around accelerating scale. What does that mean? That means that we need to grow as a business, but not only grow our total member base, which we have been doing, as you saw in previous half year and annual reports, and we have grown our member base significantly. But more than that, the strategic focus now for the business, and has been since the beginning of the year, is scaling our paid memberships and services and ultimately driving share of wallet. What does that mean?

Speaker #1: The first one is around accelerating scale. What does that mean? That means we need to grow as a business, but not only grow our total member base— which we have been doing, as you saw in previous half-year and annual reports— and we have grown our member base significantly.

Speaker #1: But more than that, the strategic focus now for the business—and has been since the beginning of the year—is scaling our paid memberships and services, and ultimately driving share of wallet.

Speaker #1: What does that mean? We know where our members are traveling, what they're searching for, what their needs are, and I want ASMALLWORLD to be that trusted brand for luxury travel and lifestyle services; a brand that our members come to not just to get recommendations, but to book, either themselves or on their behalf. We've made great strides against that objective—ultimately to be, I hate to use the word 'one-stop shop' or 'walled garden' as tech companies talk about, but these are the analogies I use with my team to say we should be offering an amazing service, best-in-class product, and the most convenient way to book.

[Company Representative] (ASMALLWORLD): We know where our members are traveling, what they are searching for, what their needs are, and I want ASMALLWORLD to be that trusted brand for luxury travel and lifestyle services that our members come to not just to get recommendations, but to book either themselves or on their behalf. We have made great strides against that objective ultimately to be, I hate to use the word one-stop shop or a walled garden as tech companies talk about, but these are the analogies I use with my team to say we should be offering an amazing service, best-in-class product, and the most convenient way to book for those different services and products they are looking for. As I said, we are making great progress against that. We need to continue to expand our product and partners.

Zain Richardson: We know where our members are traveling, what they are searching for, what their needs are, and I want ASMALLWORLD to be that trusted brand for luxury travel and lifestyle services that our members come to not just to get recommendations, but to book either themselves or on their behalf. We have made great strides against that objective ultimately to be, I hate to use the word one-stop shop or a walled garden as tech companies talk about, but these are the analogies I use with my team to say we should be offering an amazing service, best-in-class product, and the most convenient way to book for those different services and products they are looking for. As I said, we are making great progress against that. We need to continue to expand our product and partners.

Speaker #1: For those different services and products they're looking for, and as I said, we're making great progress against that. We need to continue to expand our products and partners.

Speaker #1: When I joined the business, there were two key membership partners in terms of currency, and that was Emirates and Lufthansa Group Miles & More. As you know, I've consciously focused on expanding that portfolio of strategic partners to increase relevance and resonate with more members, with more member needs, across the globe.

[Company Representative] (ASMALLWORLD): When I joined the business, there were two key membership partners in terms of currency, and that was Emirates and Lufthansa Group Miles & More. As you know, I've consciously focused on expanding that portfolio of strategic partners to increase relevance and resonate with more members with more member needs across the globe. This also means allowing us to tap into ecosystems of other high-net-worth individuals to offer our particular memberships, services, and products. I'll share more about that in the slides that will follow. The key objective here is to make sure we don't want to, and we don't need to become Expedia. We are a curated platform for the best of the best, which we, through our own expertise, but also through the 20-plus years of member sharing recommendations, requests, discussions, we know what our members want and need.

Zain Richardson: When I joined the business, there were two key membership partners in terms of currency, and that was Emirates and Lufthansa Group Miles & More. As you know, I've consciously focused on expanding that portfolio of strategic partners to increase relevance and resonate with more members with more member needs across the globe. This also means allowing us to tap into ecosystems of other high-net-worth individuals to offer our particular memberships, services, and products. I'll share more about that in the slides that will follow. The key objective here is to make sure we don't want to, and we don't need to become Expedia. We are a curated platform for the best of the best, which we, through our own expertise, but also through the 20-plus years of member sharing recommendations, requests, discussions, we know what our members want and need.

Speaker #1: But also, this means allowing us to tap into ecosystems of other high-net-worth individuals to offer our particular memberships, services, and products. I'll share more about that in the slides that will follow.

Speaker #1: So, the key objective here is to make sure we don't want to—and we don't need to—become Expedia. We are a curated platform for the best of the best, which we determine through our own expertise but also through the 20-plus years of members sharing recommendations, requests, and discussions. We know what our members want and need, and we can go out and secure those particular partners, benefits, access, and experiences that no other platform or business can offer today.

[Company Representative] (ASMALLWORLD): We can go out and secure those particular partners, benefits, access, experiences that no other platform or business can today. The third point here, continue to grow within travel services. The travel business we know, and as many of you know, my background is in luxury hospitality and travel. We know that this is something that our members love to do, and on future calls, I can share some of our consumer insight work that we completed about members and how frequently they travel. Even for some of our team, we're pleasantly surprised at both the frequency of leisure travel, but also the size of spend on those trips, which is very exciting for us. Why is that exciting?

Zain Richardson: We can go out and secure those particular partners, benefits, access, experiences that no other platform or business can today. The third point here, continue to grow within travel services. The travel business we know, and as many of you know, my background is in luxury hospitality and travel. We know that this is something that our members love to do, and on future calls, I can share some of our consumer insight work that we completed about members and how frequently they travel. Even for some of our team, we're pleasantly surprised at both the frequency of leisure travel, but also the size of spend on those trips, which is very exciting for us. Why is that exciting?

Speaker #1: Third point here: continue to grow within travel services. So, the travel business, we know—as many of you know, my background is in luxury hospitality and travel—we know that, first, this is something our members love to do. On future calls, I can share some of our consumer insight work that we completed about our members and how frequently they travel, because even for some of our team, we were pleasantly surprised at both the frequency of leisure travel, but also the size of spend on those trips, which is very exciting for us.

Speaker #1: Why is that exciting? Because we believe—and we know, because we see it in the data—that ASMALLWORLD is perfectly positioned to be the service partner to find for our members the best of the best experiences and the travel they want to go to around the world.

[Company Representative] (ASMALLWORLD): Because we believe and we know, because we see it in the data, that ASMALLWORLD is perfectly positioned to be that service partner to find for our members the best of the best experiences and the travel they want to go to around the world and be paid commissions by our supply partners, where we are preferred partners with all of the best consortia hotel brands, cruise companies in the world to give, whether it's upgrades, credits when they stay, other really unique benefits to our members when they travel. Not only can we provide the best of the best, we can also provide those unique benefits when our members book with us. This is tapping into that point I raised earlier about driving share of wallet. That's why we will continue to grow in travel services, number one.

Zain Richardson: Because we believe and we know, because we see it in the data, that ASMALLWORLD is perfectly positioned to be that service partner to find for our members the best of the best experiences and the travel they want to go to around the world and be paid commissions by our supply partners, where we are preferred partners with all of the best consortia hotel brands, cruise companies in the world to give, whether it's upgrades, credits when they stay, other really unique benefits to our members when they travel. Not only can we provide the best of the best, we can also provide those unique benefits when our members book with us. This is tapping into that point I raised earlier about driving share of wallet. That's why we will continue to grow in travel services, number one.

Speaker #1: And be paid commissions by our supply partners, where we are preferred partners with all of the best consortia, hotel brands, and cruise companies in the world, to give—whether it's upgrades, credits when they stay, or other really unique benefits—to our members.

Speaker #1: When they travel. So not only can we provide the best of the best, but we can also provide those unique benefits when our members book with us.

Speaker #1: So this is tapping into that point I raised earlier about driving share of wallet. That's why we will continue to grow in travel services.

Speaker #1: Number one, but also, number two, it is fundamentally higher margin. And it's scalable. So, our Small World Collection, which is a self-booking closed-user platform where members can book our VIP rates with certain hotels, has great scale potential. I'll share some updates on some of the great improvements we've made on that platform.

[Company Representative] (ASMALLWORLD): Number two, it is fundamentally higher margin, and it's scalable. Our ASMALLWORLD Collection, which is a self-booking, closed-user platform where members can book our VIP rates with certain hotels, that has great scale potential, and I'll share some updates on some of the great improvements we've made on that platform, in addition to obviously our managed travel business. Lastly, prioritize profit. It's a no-brainer, obviously, that we should always be prioritizing profit. But important to say, this was very important to me when I joined this business and I started to look at how we operate, how we make money, where we spend, that there was a huge opportunity in terms of driving operational efficiencies within the business. This strategic priority of prioritizing profit is really the filter through which we say, "Is this something we should be doing or not doing?

Zain Richardson: Number two, it is fundamentally higher margin, and it's scalable. Our ASMALLWORLD Collection, which is a self-booking, closed-user platform where members can book our VIP rates with certain hotels, that has great scale potential, and I'll share some updates on some of the great improvements we've made on that platform, in addition to obviously our managed travel business. Lastly, prioritize profit. It's a no-brainer, obviously, that we should always be prioritizing profit. But important to say, this was very important to me when I joined this business and I started to look at how we operate, how we make money, where we spend, that there was a huge opportunity in terms of driving operational efficiencies within the business. This strategic priority of prioritizing profit is really the filter through which we say, "Is this something we should be doing or not doing?

Speaker #1: In addition to, obviously, our managed travel business. Lastly, prioritize profit. It's a no-brainer, obviously, that we should always be prioritizing profit, but it's important to say—this was very important to me when I joined this business, and I started to look at how we operate and how we make money and where we spend—that there was a huge opportunity in terms of driving operational efficiencies within the business.

Speaker #1: And so, this strategic priority of prioritizing profit is really the filter through which we ask, is this something we should be doing or not doing?

Speaker #1: Is this something we can credibly deliver to our members at a quality level, and also do it profitably? This filtering and this front-of-mind objective are critical for us—for myself, but also for all of my team—as we think about all of the opportunities that we have on the table.

[Company Representative] (ASMALLWORLD): Is this something we can credibly deliver to our members at a quality level and also do it profitably?" This filtering and this front of mind objective is critical for us, both myself but also for all of my team, as we think about all of the opportunities that we have on the table. This fourth priority around operational and efficiency and driving profit has been one of the key drivers or reasons why we took that long hard look at some of the projects and initiatives that were revenue drivers, but ultimately low to no margin, ultimately on the gross and net side, which could ultimately end up becoming loss-making for the business.

Zain Richardson: Is this something we can credibly deliver to our members at a quality level and also do it profitably?" This filtering and this front of mind objective is critical for us, both myself but also for all of my team, as we think about all of the opportunities that we have on the table. This fourth priority around operational and efficiency and driving profit has been one of the key drivers or reasons why we took that long hard look at some of the projects and initiatives that were revenue drivers, but ultimately low to no margin, ultimately on the gross and net side, which could ultimately end up becoming loss-making for the business.

Speaker #1: And this fourth priority around operational efficiency and driving profit has been one of the key drivers, or reasons, why we took that long, hard look at some of the projects and initiatives that were revenue drivers but ultimately had low to no margin—ultimately on the gross and net side—which could ultimately end up becoming loss-making for the business.

Speaker #1: And then, most important and most exciting for me, across all of these initiatives, is a cross-organizational project and program of work, which is about unifying our data, transforming our technology, and accelerating AI across the business.

[Company Representative] (ASMALLWORLD): Most important for me, and most exciting for me actually, across all of these initiatives, is a cross-organizational project and program of work, which is about unifying our data, transforming our technology, and accelerating AI across the business. Internally, we call this Project Atlas, and it touches every part of the business. I will share more later in the presentation about our progress in this area. But as some of you will know, when I joined the business, having been a member of ASMALLWORLD for nearly 20 years, that is very exciting to me that we have, for many of our members, nearly 20 years' worth of data on discussions they have interacted with, questions they have asked about where they should travel, bookings they have made, bookings they have not made, but they have tried to make.

Zain Richardson: Most important for me, and most exciting for me actually, across all of these initiatives, is a cross-organizational project and program of work, which is about unifying our data, transforming our technology, and accelerating AI across the business. Internally, we call this Project Atlas, and it touches every part of the business. I will share more later in the presentation about our progress in this area. But as some of you will know, when I joined the business, having been a member of ASMALLWORLD for nearly 20 years, that is very exciting to me that we have, for many of our members, nearly 20 years' worth of data on discussions they have interacted with, questions they have asked about where they should travel, bookings they have made, bookings they have not made, but they have tried to make.

Speaker #1: Internally, we call this Project Atlas, and it touches every part of the business. I'll share more later in the presentation about our progress in this area. But, as some of you will know, when I joined the business, having been a member of ASMALLWORLD for nearly 20 years, it is very exciting to me that we have, for many of our members, nearly 20 years' worth of data on discussions they've interacted with, questions they've asked about where they should travel, bookings they've made, and bookings they haven't made but have tried to make.

Speaker #1: This is a really exciting part for me, and this acceleration and investment in technology to transform the business and accelerate growth is critical. We've made good progress in the half-year.

[Company Representative] (ASMALLWORLD): This is really an exciting part for me, and this acceleration investment in technology to transform the business and accelerate growth is critical. We have made good progress in the H1. Firstly, looking at accelerating scale, I wanted to share some key updates around our membership development. When I joined the business last year, we had three core membership products across a couple of different partners. We had also been building the free tier, which had launched at the end of 2024, and that has supported a strong pipeline of member growth. What is great to see is we have strict verification processes to make sure that any free members who join, before they can truly access the platform, they go through a verification process.

Zain Richardson: This is really an exciting part for me, and this acceleration investment in technology to transform the business and accelerate growth is critical. We have made good progress in the H1. Firstly, looking at accelerating scale, I wanted to share some key updates around our membership development. When I joined the business last year, we had three core membership products across a couple of different partners. We had also been building the free tier, which had launched at the end of 2024, and that has supported a strong pipeline of member growth. What is great to see is we have strict verification processes to make sure that any free members who join, before they can truly access the platform, they go through a verification process.

Speaker #1: Firstly, looking at accelerating scale, I wanted to share some key updates around our membership development. When I joined the business last year, we had three core membership products across a couple of different partners.

Speaker #1: We had also been building the free tier, which launched at the end of 2024, and that has supported a strong pipeline of member growth.

Speaker #1: What's great to see as we go through is that we have strict verification processes to make sure that any free members who join, before they can truly access the platform, go through a verification process.

Speaker #1: We've really we've seen significant growth in the verified free members in particular, which is obviously a very strong indicator that they in terms of engagement with the platform, that they have that they are looking to a small world for opportunities to engage with our services memberships, et cetera.

[Company Representative] (ASMALLWORLD): We have seen significant growth in the verified free members in particular, which is obviously a very strong indicator in terms of engagement with the platform, that they are looking to ASMALLWORLD for opportunities to engage with our services, memberships, et cetera. However, most importantly for me and for the business overall, we have now refocused, since 2025, on the revenue-driving paid memberships. For that, we have conducted, in the H1 of this year, a complete overhaul of our back-end tech architecture. We have moved away from completely static memberships, whereby you would go through one particular user flow with one particular membership. As you see on the slide here, we have launched a strategy which will allow for more flexible memberships and to increase customization. The first phase of that is around add-ons, as you will see at the bottom of the slide there.

Zain Richardson: We have seen significant growth in the verified free members in particular, which is obviously a very strong indicator in terms of engagement with the platform, that they are looking to ASMALLWORLD for opportunities to engage with our services, memberships, et cetera. However, most importantly for me and for the business overall, we have now refocused, since 2025, on the revenue-driving paid memberships. For that, we have conducted, in the H1 of this year, a complete overhaul of our back-end tech architecture. We have moved away from completely static memberships, whereby you would go through one particular user flow with one particular membership. As you see on the slide here, we have launched a strategy which will allow for more flexible memberships and to increase customization. The first phase of that is around add-ons, as you will see at the bottom of the slide there.

Speaker #1: However, most importantly for me and for the business overall, we have now 2025 on the revenue-driving paid memberships. And for that, we have conducted in the first half of this year, a complete overhaul of our back-end tech architecture, we've moved away from completely static memberships, whereby you would go through one particular user flow with one particular membership, and as you see on the slide here, we have launched a strategy which will allow for more flexible memberships to increase and to increase customization, the first phase of that is around add-ons, as you'll see at the bottom of the slide there.

Speaker #1: So, if you purchase one type of membership with one partner, do you want to add X, Y, Z from another partner—whether it's a concierge service, miles, et cetera?

[Company Representative] (ASMALLWORLD): If you purchase one type of membership with one partner, do you want to add XYZ from another partner, whether it is a concierge service, miles, et cetera? We have started to test those incremental add-on pieces. We are deep in the work in the next phase of starting to really customize the flexibility both for our own platform, but also for external partners to really make the memberships as flexible as possible. Ultimately, there are several reasons for this. Firstly, this allows us to know what sells. We can have a view, and we can look at engagement, and we can look at clicks, et cetera, but ultimately, what really matters is what will people open their wallet for. This is great from that standpoint.

Zain Richardson: If you purchase one type of membership with one partner, do you want to add XYZ from another partner, whether it is a concierge service, miles, et cetera? We have started to test those incremental add-on pieces. We are deep in the work in the next phase of starting to really customize the flexibility both for our own platform, but also for external partners to really make the memberships as flexible as possible. Ultimately, there are several reasons for this. Firstly, this allows us to know what sells. We can have a view, and we can look at engagement, and we can look at clicks, et cetera, but ultimately, what really matters is what will people open their wallet for. This is great from that standpoint.

Speaker #1: And we've started to test those incremental add-on pieces. We're deep in the work on the next phase of starting to really customize the flexibility, both for our own platform, but also for external partners, to really make the memberships as flexible as possible.

Speaker #1: Ultimately, there are several reasons for this. Firstly, this allows us to know what sells. We can have a view, and we can look at engagement, and we can look at clicks, et cetera.

Speaker #1: But ultimately, what really matters is what people will open their wallets for. So this is great from that standpoint. It also allows us to add new partners quickly, and allows the business to add new partners quickly to the platform in a way that, historically, required a whole tech build to create a new membership variant.

[Company Representative] (ASMALLWORLD): It also allows us to add new partners quickly, and allows the business to add new partners quickly to the platform in a way that historically it required a whole tech build to build a new membership variant. We also, as I mentioned on the B2B2C side, which is critical as we scale the business. As many of you know, at the end of last year, we signed a partnership with Klarna, the large financial services company, whereby their top-tier members get a small Premium membership, which we are seeing increasing traction, which is fantastic. We have seen 3x growth in our Klarna paid members during the period.

Zain Richardson: It also allows us to add new partners quickly, and allows the business to add new partners quickly to the platform in a way that historically it required a whole tech build to build a new membership variant. We also, as I mentioned on the B2B2C side, which is critical as we scale the business. As many of you know, at the end of last year, we signed a partnership with Klarna, the large financial services company, whereby their top-tier members get a small Premium membership, which we are seeing increasing traction, which is fantastic. We have seen 3x growth in our Klarna paid members during the period.

Speaker #1: We also as I mentioned on the B2B to C side, which is critical to as we scale the business, as many of you know, at the end of last year, we signed a partnership with Klarna, the large financial services company, whereby their top-tier members get in the small world premium membership, which we're seeing increasing traction, which is fantastic.

Speaker #1: So, we've seen 3x growth in our Klarna paid members during the period. But what this new flexible membership bundling work that's now underway will allow us to do, regardless of the partner—whether it's Bank X in Italy or real estate company Y in Chile—is to create customized bundles of memberships by tapping into our incredible roster of benefits, status, access, and currency across the travel and lifestyle ecosystem, in a way that nobody else can. We can build bespoke packages of memberships that will allow those particular institutions to drive loyalty among their members by offering these benefits.

[Company Representative] (ASMALLWORLD): What this new flexible membership bundling work that is now underway will allow us to, regardless of the partner, whether it is bank X in Italy or real estate company Y in Chile, we can create customized bundles of memberships with tapping into our incredible roster of benefits, status, access, currency across the travel and lifestyle ecosystem in a way that nobody else can, and build bespoke packages of memberships that will then allow those particular institutions to drive loyalty among their members by offering these benefits. As I mentioned earlier, we launched our ASMALLWORLD Concierge business, which was a strategic decision to expand an area of the business that actually some people know, some people do not know, that we have been operating for over 20 years. Our business unit called World's Finest Clubs has been around for over 20 years.

Zain Richardson: What this new flexible membership bundling work that is now underway will allow us to, regardless of the partner, whether it is bank X in Italy or real estate company Y in Chile, we can create customized bundles of memberships with tapping into our incredible roster of benefits, status, access, currency across the travel and lifestyle ecosystem in a way that nobody else can, and build bespoke packages of memberships that will then allow those particular institutions to drive loyalty among their members by offering these benefits. As I mentioned earlier, we launched our ASMALLWORLD Concierge business, which was a strategic decision to expand an area of the business that actually some people know, some people do not know, that we have been operating for over 20 years. Our business unit called World's Finest Clubs has been around for over 20 years.

Speaker #1: As I mentioned earlier, we launched our Small World concierge business, which was a strategic decision to expand an area of the business that—actually, some people know, some people don't know—we've been operating for over 20 years.

Speaker #1: Our business unit called World's Finest Clubs has been around for over 20 years. And it has been securing restaurant and dining restaurant and nightlife reservations for its members, our members.

[Company Representative] (ASMALLWORLD): It has been securing restaurant and nightlife reservations for its members, or our members, as I say, for over 20 years. Our ASMALLWORLD Concierge business was launched very recently in Q2, building on that expertise from our World's Finest Clubs membership model, but also using the commercial structure, our positioning, and our operating model that we had learned over that time, as well as, of course, leveraging our existing travel supply partners. So whether that is hotels, whether that is car rental companies, DMCs, private jet organizations, et cetera. Again, it is early days, but I am excited to share that we have already booked several hundred thousand EUR worth of travel for the first joining members. The focus for this business is to move away from a single revenue stream.

Zain Richardson: It has been securing restaurant and nightlife reservations for its members, or our members, as I say, for over 20 years. Our ASMALLWORLD Concierge business was launched very recently in Q2, building on that expertise from our World's Finest Clubs membership model, but also using the commercial structure, our positioning, and our operating model that we had learned over that time, as well as, of course, leveraging our existing travel supply partners. So whether that is hotels, whether that is car rental companies, DMCs, private jet organizations, et cetera. Again, it is early days, but I am excited to share that we have already booked several hundred thousand EUR worth of travel for the first joining members. The focus for this business is to move away from a single revenue stream.

Speaker #1: As I say, for over 20 years, our ASmallWorld concierge business was launched very recently in Q2, building on that expertise from our World's Finest Clubs membership model, but also using the commercial structure, our positioning, and our operating model that we'd learned over that time, as well as, of course, leveraging our existing travel supply partners.

Speaker #1: So whether that's hotels, whether that's rent car rental companies, DMCs, private jet organizations, et cetera. What's again, it's early days. But we have what I'm excited to share that we have already booked several hundred thousand euros' worth of travel for the first joining members.

Speaker #1: The focus for this business is to move away from a single revenue stream. World's Finest Clubs, like our other memberships, is a subscription-based model, whereby you pay your subscription and then our team books your restaurant and nightlife reservations during your membership year.

[Company Representative] (ASMALLWORLD): World's Finest Clubs is a subscription, like our other memberships, is a subscription-based model, whereby you pay your subscription, and then our team book your restaurant and nightlife reservations during your membership year. Moving and adding a concierge service to this allows us to take a greater share of our members' wallet for them to trust us with other needs that they have in their day-to-day lives. Obviously, getting the impossible to get dining reservations, which we saw, being able to get first week dining reservations at the hottest new Italian restaurant in a brand new hotel in London that I am sure many of you are aware of. Beach club reservations, but also help planning that birthday getaway or car service for a work trip.

Zain Richardson: World's Finest Clubs is a subscription, like our other memberships, is a subscription-based model, whereby you pay your subscription, and then our team book your restaurant and nightlife reservations during your membership year. Moving and adding a concierge service to this allows us to take a greater share of our members' wallet for them to trust us with other needs that they have in their day-to-day lives. Obviously, getting the impossible to get dining reservations, which we saw, being able to get first week dining reservations at the hottest new Italian restaurant in a brand new hotel in London that I am sure many of you are aware of. Beach club reservations, but also help planning that birthday getaway or car service for a work trip.

Speaker #1: Moving and adding a concierge service to this allows us to take a greater share of our members' wallet for them to trust us with other needs that they have, in their day-to-day lives, obviously getting the impossible to get dining reservations, which we saw being able to get first-week dining registration reservations at the hottest new Italian restaurant in a brand new hotel in London that I'm sure many of you are aware of, Beach Club reservations.

Speaker #1: But also helping members plan that birthday getaway or arrange car service for a work trip. This unlocks more areas of spend that we know our members need, and trust us to deliver, as well as obviously opening up other higher-value commission streams for the business.

[Company Representative] (ASMALLWORLD): This unlocks more areas of spend that we know our members need and trust us to deliver, as well as obviously opening up other higher value commission streams for the business. The exciting thing for me is that we have, as I mentioned before, 20 years of transactional behavioral preferences data, obviously alongside 20 years of user-generated discussions, recommendations on which the original ASMALLWORLD business has always been based, which allows us to not only be a concierge platform that is recommending what everybody would do on TripAdvisor or an AI bot, which only has access to public sources, would likely recommend the most generic thing to do. We really have that ability, both on knowing our members, having like-minded members, having shared with us their preferences, behaviors, and bookings.

Zain Richardson: This unlocks more areas of spend that we know our members need and trust us to deliver, as well as obviously opening up other higher value commission streams for the business. The exciting thing for me is that we have, as I mentioned before, 20 years of transactional behavioral preferences data, obviously alongside 20 years of user-generated discussions, recommendations on which the original ASMALLWORLD business has always been based, which allows us to not only be a concierge platform that is recommending what everybody would do on TripAdvisor or an AI bot, which only has access to public sources, would likely recommend the most generic thing to do. We really have that ability, both on knowing our members, having like-minded members, having shared with us their preferences, behaviors, and bookings.

Speaker #1: The exciting thing for me is that we've—we have, as I mentioned before—20 years of transactional behavioral preferences data, obviously alongside 20 years of user-generated discussions and recommendations, on which the original ASmallWorld business has always been based. This allows us to not only be a concierge platform, but also to recommend things beyond what everybody would do on TripAdvisor or what an AI bot—which only has access to public sources—would likely recommend, which is usually the most generic thing to do.

Speaker #1: We really have that ability, both in knowing our members—having like-minded members who have shared with us their preferences, behaviors, and bookings—and this really positions us perfectly against a backdrop that we all know and are seeing of AI slop and hallucinations. This allows us to not only provide curated, trusted, and authentic recommendations, but also, because of our travel business, we can complete those bookings. With our long-standing supply relationships, we get the best services, the best rooms, upgrades, etc., for our members, but also at the highest commission levels because of our relationships.

[Company Representative] (ASMALLWORLD): This really positions us perfectly against a backdrop that we all know and are seeing of AI slop hallucinations to not only provide curated and trusted and authentic recommendations, but also because of our travel business, we can also complete those bookings with our longstanding supplier relationships to get the best services and the best rooms, upgrades, et cetera, for our members, but also at the highest commission levels because of our relationships. We are very excited about this part of the business. I mentioned about accelerating our growth of our strategic partner portfolio. So expanding what the benefits our memberships come with, and what are the status levels access currency that our members can access as part of their membership. I just wanted to share here a little bit of the timeline of ASMALLWORLD's journey in terms of its partner portfolio.

Zain Richardson: This really positions us perfectly against a backdrop that we all know and are seeing of AI slop hallucinations to not only provide curated and trusted and authentic recommendations, but also because of our travel business, we can also complete those bookings with our longstanding supplier relationships to get the best services and the best rooms, upgrades, et cetera, for our members, but also at the highest commission levels because of our relationships. We are very excited about this part of the business. I mentioned about accelerating our growth of our strategic partner portfolio. So expanding what the benefits our memberships come with, and what are the status levels access currency that our members can access as part of their membership. I just wanted to share here a little bit of the timeline of ASMALLWORLD's journey in terms of its partner portfolio.

Speaker #1: We're very excited about this part of the business. I mentioned about accelerating our growth of our strategic partner portfolio. So expanding what the benefits our memberships come with, and what are the status levels, access, currency that our members can access as part of their membership.

Speaker #1: So I just wanted to share here on the a little bit of the kind of the timeline of a small world's journey in terms of its partner portfolio.

Speaker #1: So Miles & More, which, with Lufthansa Group, which is still one of our largest partners in terms of our memberships with Miles & More miles, started in 2018.

[Company Representative] (ASMALLWORLD): Miles & More with Lufthansa Group, which is still one of our largest partners in terms of our memberships with Miles & More miles, started in 2018. In 2022, the business added Emirates, and also took a 10% stake in Global Hotel Alliance, which their large program is GHA DISCOVERY. That then plateaued. I joined the business in 2025, with the mandate from the board to really accelerate our roster of strategic partners, both on the benefits and currency side, but also on the distribution side. We have made great progress with the team in the last 18 months since I joined. As you know, and as we have shared, we added Cathay Pacific to expand our reach in Asia in 2025.

Zain Richardson: Miles & More with Lufthansa Group, which is still one of our largest partners in terms of our memberships with Miles & More miles, started in 2018. In 2022, the business added Emirates, and also took a 10% stake in Global Hotel Alliance, which their large program is GHA DISCOVERY. That then plateaued. I joined the business in 2025, with the mandate from the board to really accelerate our roster of strategic partners, both on the benefits and currency side, but also on the distribution side. We have made great progress with the team in the last 18 months since I joined. As you know, and as we have shared, we added Cathay Pacific to expand our reach in Asia in 2025.

Speaker #1: In 2022, the business added Emirates and also took a 10% stake in Global Hotel Alliance, whose largest program is Discovery. Growth then plateaued.

Speaker #1: I joined the business in 2025, with the mandate from the board to really accelerate our roster of strategic partners, both on the benefits and currency side, but also on the distribution side.

Speaker #1: And so, we've made great progress with the team in the last 18 months since I joined. As you know, and as we've shared, we added Cathay Pacific to expand our reach in Asia in 2025.

Speaker #1: We added Turkish Airlines at the very, very end, and we launched at the beginning of 2026, which has been great, particularly given challenges with some of the Middle East corridors of travel.

[Company Representative] (ASMALLWORLD): We added Turkish Airlines at the very, very end, and we launched at the beginning of 2026, which has been great, particularly given challenges with some of the Middle East corridors of travel. Then we added several distribution partners, but obviously the most significant was Klarna, which is both a distribution partner in terms of Klarna members having access to our membership portfolio, but is also an acquisition channel for ASMALLWORLD because those top-tier Klarna Max cardholders do automatically get an ASMALLWORLD Premium as part of their benefits. As I said earlier in the presentation, we are seeing great growth in the number of ASMALLWORLD Premium members that are coming to us directly from Klarna. We were thrilled to announce in the H1 2026, a global partnership with Marriott Bonvoy, obviously largest hotel company with greatest range of hotel product available.

Zain Richardson: We added Turkish Airlines at the very, very end, and we launched at the beginning of 2026, which has been great, particularly given challenges with some of the Middle East corridors of travel. Then we added several distribution partners, but obviously the most significant was Klarna, which is both a distribution partner in terms of Klarna members having access to our membership portfolio, but is also an acquisition channel for ASMALLWORLD because those top-tier Klarna Max cardholders do automatically get an ASMALLWORLD Premium as part of their benefits. As I said earlier in the presentation, we are seeing great growth in the number of ASMALLWORLD Premium members that are coming to us directly from Klarna. We were thrilled to announce in the H1 2026, a global partnership with Marriott Bonvoy, obviously largest hotel company with greatest range of hotel product available.

Speaker #1: And then we added several distribution partners, but obviously the most significant was Klarna, which is both a distribution partner in terms of Klarna members having access to our membership portfolio, but is also an acquisition channel for small world because those top-tier Klarna max cardholders do automatically get a small world premium as part of their benefits.

Speaker #1: So, as I said earlier in the presentation, we are seeing great growth in the number of ASmallWorld Premium members that are coming to us directly from Klarna.

Speaker #1: We were thrilled to announce in the first half of 2026 our global partnership with Marriott Bonvoy. Obviously, they're the largest hotel company with the greatest range of hotel products available.

Speaker #1: So now, our members can purchase memberships with ASMALLWORLD, including various denominations of Marriott Bonvoy points, and we can help them recommend where to spend.

[Company Representative] (ASMALLWORLD): Now our members can purchase memberships with ASMALLWORLD, including various denominations of Marriott Bonvoy points, and we can help them recommend where to spend, which obviously helps us in particular, in the North American market. We also signed a partnership with The Bicester Collection, which is a luxury retail company operating 13 villages around the world, serving many million, I believe it is 50 million customers annually. So we have built a partnership around their very top tier of spenders, their top 2%, and our top-tier members as well. So a mutual recognition and top-tier Bicester members get an ASMALLWORLD Premium membership, and then our top-tier ASMALLWORLD members get benefits when they go to any of The Bicester Collection luxury retail villages for personal shopping, et cetera.

Zain Richardson: Now our members can purchase memberships with ASMALLWORLD, including various denominations of Marriott Bonvoy points, and we can help them recommend where to spend, which obviously helps us in particular, in the North American market. We also signed a partnership with The Bicester Collection, which is a luxury retail company operating 13 villages around the world, serving many million, I believe it is 50 million customers annually. So we have built a partnership around their very top tier of spenders, their top 2%, and our top-tier members as well. So a mutual recognition and top-tier Bicester members get an ASMALLWORLD Premium membership, and then our top-tier ASMALLWORLD members get benefits when they go to any of The Bicester Collection luxury retail villages for personal shopping, et cetera.

Speaker #1: Which obviously helps us, in particular in the North American market. We also signed a partnership with the Bicester Collection, which is a luxury retail company operating 13 villages around the world, serving many millions—I believe it's 50 million customers annually.

Speaker #1: So we have built a partnership around their very top tier of spenders, their top 2%, and our top-tier members as well. So there is mutual recognition: top-tier Bista members get an ASMALLWORLD premium membership, and then our top-tier ASMALLWORLD members get benefits when they go to any of the Bista Collection luxury retail villages—personal shopping, et cetera.

Speaker #1: So, an exciting new partnership vehicle for us to drive both, obviously, sales of our memberships, but also acquisition into our portfolio. As I say, we are very far into discussions with two new global strategic partners, which I will be excited to share in the coming weeks.

[Company Representative] (ASMALLWORLD): So an exciting new partnership vehicle for us to drive both obviously, sales of our memberships, but also acquisition into our portfolio. As I say, we are very far into discussions with two new global strategic partners, which I will be excited to share in the coming weeks. What has been very exciting, and I will share more in the section about technology, is some of the enhancements we have made for our Miles & More memberships, in particular, have generated some of the greatest sales we have had this year. Thirdly, I shared that travel is a continued focus in the business, both growing the travel services segment, but also building out that pipeline of future growth within the business. The most important value for our travel business is it is scalable. It is required by our members. We know that there is a high level of resilience for high net worth travel spend.

Zain Richardson: So an exciting new partnership vehicle for us to drive both obviously, sales of our memberships, but also acquisition into our portfolio. As I say, we are very far into discussions with two new global strategic partners, which I will be excited to share in the coming weeks.

Speaker #1: What's been very exciting—and I'll share more in the section about technology—is some of the enhancements we've made for Miles & More memberships in particular, which have generated some of the greatest sales we've had this year.

Zain Richardson: What has been very exciting, and I will share more in the section about technology, is some of the enhancements we have made for our Miles & More memberships, in particular, have generated some of the greatest sales we have had this year. Thirdly, I shared that travel is a continued focus in the business, both growing the travel services segment, but also building out that pipeline of future growth within the business. The most important value for our travel business is it is scalable. It is required by our members. We know that there is a high level of resilience for high net worth travel spend.

Speaker #1: Thirdly, I shared that travel is a continued focus in the business, both growing the travel services segment and building out that pipeline of future growth within the business.

Speaker #1: The most important value for our travel business is its scalability; it's required by our members. We know that there is a high level of resilience in high net worth travel spend.

Speaker #1: There is redirection at times of challenge, as we have seen with the conflict in the Middle East. We've seen slowing growth in terms of the value of our stays, H1 2025 versus H1 2026.

[Company Representative] (ASMALLWORLD): There is redirection at times of challenge, as we have seen with the conflict in the Middle East. We have seen slowing growth in terms of the value of our stays, H1 2025 versus H1 2026. So up 6.5% in terms of the value of the stays in the period, which is, as I say, largely due to that disruption. But at the same time, as I mentioned earlier in the presentation, The ASMALLWORLD Collection, which is the self-booking tool for exclusive rates and inventory at a curated collection of 2,000 hotels. So not every hotel. We are not trying to be a Booking.com or an Expedia. Every hotel that sits on our platform is required to provide benefits to our members without cost when they stay with them, be that free breakfast, be that credits for the spa, be that late checkout, early check-in, et cetera.

Zain Richardson: There is redirection at times of challenge, as we have seen with the conflict in the Middle East. We have seen slowing growth in terms of the value of our stays, H1 2025 versus H1 2026. So up 6.5% in terms of the value of the stays in the period, which is, as I say, largely due to that disruption. But at the same time, as I mentioned earlier in the presentation, The ASMALLWORLD Collection, which is the self-booking tool for exclusive rates and inventory at a curated collection of 2,000 hotels. So not every hotel. We are not trying to be a Booking.com or an Expedia. Every hotel that sits on our platform is required to provide benefits to our members without cost when they stay with them, be that free breakfast, be that credits for the spa, be that late checkout, early check-in, et cetera.

Speaker #1: So, up 6.5% in terms of the value of the stays in the period, which is, as I say, largely due to that disruption.

Speaker #1: But at the same time, as I mentioned earlier in the presentation, The Collection, which is the self-booking tool for exclusive rates and inventory at a curated collection of 2,000 hotels.

Speaker #1: So not every hotel. We're not trying to be a booking.com or an Expedia. Every hotel that sits on our platform, you is required to provide benefits to our members, without cost, when they stay with them, be that free breakfast, be that credits for the spa, be that late checkout, early check-in, et cetera.

Speaker #1: So in addition to continuing to curate the portfolio, and look at which destinations are trending for members, and which where we see an opportunity to add new product, we in the first half of 2026 made a strategic decision when we saw the growth in luxury all inclusive, and this is historically that was sort of a contradiction to say luxury and all inclusive.

[Company Representative] (ASMALLWORLD): In addition to continuing to curate the portfolio and look at which destinations are trending for members and where we see an opportunity to add new product, we, in H1 2026, made a strategic decision when we saw the growth in luxury all-inclusive. Historically, that was a contradiction to say luxury and all-inclusive. However, we have seen in recent times a real emergence of all-inclusive in the luxury space done in a certain way, which is increasingly attractive to our members and to luxury travelers. We made a strategic decision to invest in adding all-inclusive properties onto our platform, and we believe we are the first platform of this type to be able to offer luxury all-inclusive where members can book at those particular hotels.

Zain Richardson: In addition to continuing to curate the portfolio and look at which destinations are trending for members and where we see an opportunity to add new product, we, in H1 2026, made a strategic decision when we saw the growth in luxury all-inclusive. Historically, that was a contradiction to say luxury and all-inclusive. However, we have seen in recent times a real emergence of all-inclusive in the luxury space done in a certain way, which is increasingly attractive to our members and to luxury travelers. We made a strategic decision to invest in adding all-inclusive properties onto our platform, and we believe we are the first platform of this type to be able to offer luxury all-inclusive where members can book at those particular hotels.

Speaker #1: However, we've seen in recent times a real emergence of all-inclusive in the luxury space, done in a certain way, which is increasingly attractive to our members and to luxury travelers.

Speaker #1: So, we made a strategic decision to invest in adding all-inclusive properties onto our platform. We believe we are the first platform of this type to be able to offer luxury all-inclusive, where members can book at those particular hotels.

Speaker #1: Obviously, that means greater choice for our members in terms of whether they want to book just the room, half board, or, indeed, all inclusive.

[Company Representative] (ASMALLWORLD): Obviously, that means greater choice for our members in terms of whether they want to stay just the room, half board, or indeed all-inclusive. But also from a business standpoint, obviously, the daily rate at all-inclusive properties because it is all included, sits substantially higher than typical rooms, and we expect this will drive significant future commission growth. On commissions, commission tracking and processing has been a focus for the business in H1 2026. We have introduced new tools, systems, and processes in order to identify bookings that have happened, commissions that have been paid, where they have come from, paid, not paid, et cetera. An extensive piece of work and new automation tools that will allow us to both find, chase, track, and reconcile those commissions has been implemented in H1 2026, and results are extremely promising.

Zain Richardson: Obviously, that means greater choice for our members in terms of whether they want to stay just the room, half board, or indeed all-inclusive. But also from a business standpoint, obviously, the daily rate at all-inclusive properties because it is all included, sits substantially higher than typical rooms, and we expect this will drive significant future commission growth. On commissions, commission tracking and processing has been a focus for the business in H1 2026. We have introduced new tools, systems, and processes in order to identify bookings that have happened, commissions that have been paid, where they have come from, paid, not paid, et cetera. An extensive piece of work and new automation tools that will allow us to both find, chase, track, and reconcile those commissions has been implemented in H1 2026, and results are extremely promising.

Speaker #1: But also, from a business standpoint, obviously the daily rate at all-inclusive properties, because it's all included, is substantially higher than typical rooms.

Speaker #1: And so, we expect this will drive significant future commission growth. On commissions, commission tracking and processing has been a focus for the business in the first half of 2026.

Speaker #1: We've introduced new tools, systems, and processes in order to identify bookings that have happened, commissions that have been paid, where they've come from—paid, not paid, et cetera.

Speaker #1: So, an extensive piece of work and new automation tools that will allow us to both find, chase, track, and reconcile those commissions have been implemented in the first half of 2026.

Speaker #1: And results are extremely promising, as you see on the slide. The results so far mean that we've had 2x growth in the commissions which have been paid versus the same time last year for our collection.

[Company Representative] (ASMALLWORLD): As you see on the slide, the results so far mean that we have had 2x growth in the commissions which have been paid versus the same time last year for our Collection. Because it is all well and good to drive growth in bookings, we need to make sure, obviously, we are then subsequently paid when the stay happens, and we are making great progress there. Then thinking about travel agency operations. We have seen over two-thirds growth in the revenue from our advisor book to travel. When I say advisor book travel, I mean that is where somebody is in contact with a person, a travel advisor, travel designer on our team, across one of our membership businesses and has booked travel, be it a flight, be it a cruise, be it a safari, et cetera.

Zain Richardson: As you see on the slide, the results so far mean that we have had 2x growth in the commissions which have been paid versus the same time last year for our Collection. Because it is all well and good to drive growth in bookings, we need to make sure, obviously, we are then subsequently paid when the stay happens, and we are making great progress there. Then thinking about travel agency operations. We have seen over two-thirds growth in the revenue from our advisor book to travel. When I say advisor book travel, I mean that is where somebody is in contact with a person, a travel advisor, travel designer on our team, across one of our membership businesses and has booked travel, be it a flight, be it a cruise, be it a safari, et cetera.

Speaker #1: Because it's all well and good to drive growth in bookings, we need to make sure, obviously, we are then subsequently paid when the stay happens.

Speaker #1: And we're making great progress there. Then, thinking about travel agency operations, we have seen over two-thirds growth in the revenue from our advisor book to travel.

Speaker #1: And when I say advisor book travel, I mean that that's where somebody is in contact with a person, a travel advisor, travel designer on our team, across one of our membership businesses, and has booked travel be it a flight, be it a cruise, be it safari, et cetera.

Speaker #1: This is a fast-growing part of the business as well, in addition to the online part of the business. We focus this part of the business really on higher-margin experiences, including safari and luxury cruise.

[Company Representative] (ASMALLWORLD): This is a fast-growing part of the business as well, in addition to the online part of the business, and we focus this part of the business really on higher margin experiences, including safari and luxury cruise. We are relatively new in this space in the last three or four years. However, we continuously win Virtuoso awards. Virtuoso, as many as you know, are the largest consortia and affiliation of luxury travel providers globally. In H1 and Q2 2026, we were awarded the top producing cruise agency in continental Europe, which was fantastic to see. At the Virtuoso Awards last week, we have won another award for our production revenue produced in the cruise category for our members and with our suppliers.

Zain Richardson: This is a fast-growing part of the business as well, in addition to the online part of the business, and we focus this part of the business really on higher margin experiences, including safari and luxury cruise. We are relatively new in this space in the last three or four years. However, we continuously win Virtuoso awards. Virtuoso, as many as you know, are the largest consortia and affiliation of luxury travel providers globally. In H1 and Q2 2026, we were awarded the top producing cruise agency in continental Europe, which was fantastic to see. At the Virtuoso Awards last week, we have won another award for our production revenue produced in the cruise category for our members and with our suppliers.

Speaker #1: We are relatively new in this space, having entered in the last three or four years. However, we continuously win Virtuoso awards. As many of you know, Virtuoso is the largest consortium and affiliation of luxury travel providers globally.

Speaker #1: And in the first quarter and the first half of—in the first half, in the second quarter of 2026, we were awarded the top-producing cruise agency in continental Europe, which was fantastic to see.

Speaker #1: And at the Virtuoso Awards last week, we won another award for our production revenue produced in the cruise category for our members and with our suppliers.

Speaker #1: So we know, obviously, with the launch of many of the hotel brands now moving into the cruise space, this is an increasingly relevant category.

[Company Representative] (ASMALLWORLD): So we know, obviously, with the launch of many of the hotel brands now moving into the cruise space, this is an increasingly relevant category. Whereas many luxury travelers would not ever have considered a cruise as a vacation option, this is changing completely, particularly with the movement of the hotel brands into the cruise and yachting space. The fact that we are already recognized as both top producers, but also experts in the space, means that we will continue to double down on this to drive revenue going forward. Then lastly, I mentioned around profitability. I think some of the key messages here in terms of what we've been doing to focus around profitable growth and long-term profitable growth for the business versus just top-line perspective. There are three areas. One is obviously cost management, cost discipline.

Zain Richardson: So we know, obviously, with the launch of many of the hotel brands now moving into the cruise space, this is an increasingly relevant category. Whereas many luxury travelers would not ever have considered a cruise as a vacation option, this is changing completely, particularly with the movement of the hotel brands into the cruise and yachting space. The fact that we are already recognized as both top producers, but also experts in the space, means that we will continue to double down on this to drive revenue going forward. Then lastly, I mentioned around profitability. I think some of the key messages here in terms of what we've been doing to focus around profitable growth and long-term profitable growth for the business versus just top-line perspective. There are three areas. One is obviously cost management, cost discipline.

Speaker #1: And whereas many luxury travelers would not ever have considered a cruise as a vacation option, this is changing completely, particularly with the movement of the hotel brands into the cruise and yachting space.

Speaker #1: And so, the fact that we are already recognized as both top producers and experts in the space means that we will continue to double down on this to drive revenue going forward.

Speaker #1: And then lastly, I mentioned profitability. So I think some of the key messages here, in terms of what we've been doing to focus on profitable growth and long-term profitable growth for the business, versus just a top-line perspective.

Speaker #1: There are three main areas here. One is, obviously, cost management and cost discipline. The second one is around commercial focus—ultimately, to grow that top line. And then the last one is around simplification and focus.

[Company Representative] (ASMALLWORLD): Second one is around commercial focus, ultimately to grow that top line. Then the last one is around simplification and focus. Again, around focus. As I mentioned earlier, we have conducted a strategic review in H1 2026, both in terms of headcount, teams, how teams work together, how teams collaborate, but also our technology investments. This led to an over 20% reduction in headcount cost, which you will see in our annual report. More importantly, that delivered better integrated teams, closer collaboration, and better positioned to help us accelerate that transformation. So fewer layers, better direct contact between different teams, and better focus and prioritization of what we work on. We also, as I mentioned, discontinued low-margin projects that had been in the business for a long time, and to really focus the business on margin accretive activities.

Zain Richardson: Second one is around commercial focus, ultimately to grow that top line. Then the last one is around simplification and focus. Again, around focus. As I mentioned earlier, we have conducted a strategic review in H1 2026, both in terms of headcount, teams, how teams work together, how teams collaborate, but also our technology investments. This led to an over 20% reduction in headcount cost, which you will see in our annual report. More importantly, that delivered better integrated teams, closer collaboration, and better positioned to help us accelerate that transformation. So fewer layers, better direct contact between different teams, and better focus and prioritization of what we work on. We also, as I mentioned, discontinued low-margin projects that had been in the business for a long time, and to really focus the business on margin accretive activities.

Speaker #1: Again, around focus. So, as I mentioned earlier, we have conducted a strategic review in the first half of 2026, both in terms of headcount, teams, how teams work together, how teams collaborate, but also our technology investments.

Speaker #1: This led to an over 20% reduction in headcount cost, which you'll see in our annual report. But more importantly, that delivered better integrated teams, closer collaboration, and a better position to help us accelerate that transformation.

Speaker #1: So, fewer layers, better direct contact between different teams, and better focus and prioritization of what we work on. We also, as I mentioned, discontinued low-margin projects that had been in the business for a long time.

Speaker #1: And to really focus the business on margin-accretive activities. As I said, one of the filters is around whether we can deliver this credibly and at a quality level our members want.

[Company Representative] (ASMALLWORLD): As I said, one of the filters around can we deliver this credibly at a quality level? Do our members want it? Then can we do it profitably? There were many instances where there was something that. I said to my team, "No sacred cows in this. We need to take a really hard look at what makes sense for the business and what we ultimately can do profitably." That led to some decisions whereby we exited certain projects and activities within the business. ASMALLWORLD has always had cachet and mystique about it. It is one of the reasons, I think, probably honestly, why I joined back in 2007. However, it has not had the strongest focus on sales and marketing.

Zain Richardson: As I said, one of the filters around can we deliver this credibly at a quality level? Do our members want it? Then can we do it profitably? There were many instances where there was something that. I said to my team, "No sacred cows in this. We need to take a really hard look at what makes sense for the business and what we ultimately can do profitably." That led to some decisions whereby we exited certain projects and activities within the business. ASMALLWORLD has always had cachet and mystique about it. It is one of the reasons, I think, probably honestly, why I joined back in 2007. However, it has not had the strongest focus on sales and marketing.

Speaker #1: And then, can we do it profitably? And there were many instances where there was something, and I said to my team, no sacred cows in this.

Speaker #1: We need to take a really hard look at what makes sense for the business, and what we ultimately can do profitably. And that led to some decisions whereby we exited certain projects and activities within the business.

Speaker #1: A small world has always had cachet and mystique about it. It's one of the reasons I think probably honestly why I joined back in 2007.

Speaker #1: However, it has not had the strongest focus on sales and marketing. So, as part of the work in the first half of this year, I created a new business development team, and their focus is obviously on adding new partners, which they have successfully done.

[Company Representative] (ASMALLWORLD): As part of the work in H1 of this year, I created a new business development team, and their focus is on obviously adding new partners, which they have successfully done, but also really push external distribution opportunities. So which partners can we plug into and offer them our portfolio of memberships, both Standalone or integrated into their own member benefits or customer base, and we have seen great results so far. I also restructured the marketing team, and we hired a new head of marketing who joined a month and a half ago from a startup D2C background, which we are very excited about, again, with a focus on really charging that commercial engine because we know we have a great member base. We have got super engaged, and we have got great products and services to offer.

Zain Richardson: As part of the work in H1 of this year, I created a new business development team, and their focus is on obviously adding new partners, which they have successfully done, but also really push external distribution opportunities. So which partners can we plug into and offer them our portfolio of memberships, both Standalone or integrated into their own member benefits or customer base, and we have seen great results so far. I also restructured the marketing team, and we hired a new head of marketing who joined a month and a half ago from a startup D2C background, which we are very excited about, again, with a focus on really charging that commercial engine because we know we have a great member base. We have got super engaged, and we have got great products and services to offer.

Speaker #1: But also, really push external distribution opportunities. So, which partners can we plug into and offer them our portfolio of memberships, both standalone or integrated into their own member benefits or customer base?

Speaker #1: And we've seen great results so far. I also restructured the marketing team, and we hired a new Head of Marketing, who joined a month and a half ago.

Speaker #1: From a startup DTC background, which we're very excited about—again, with a focus on really charging that commercial engine, because we know we have a great member base who are super engaged, and we've got great products and services to offer.

Speaker #1: It's a case of how do we communicate that correctly, both internally and externally, and make sure that our members are educated about the different value propositions that we have in the business, and make it clear to them.

[Company Representative] (ASMALLWORLD): It's a case of how do we communicate that correctly, both internally and externally, and make sure that our members are educated about the different value propositions that we have in the business and make it clear to them. On that, which is important, is when I joined the business, I found a complicated business with multiple business lines, multiple activities. As I said, I took a hard look at what we were doing. Did it make sense for the business generally? Did it make sense for the business right now? We made decisions with the board on exiting unprofitable projects in order to obviously improve our margin, but also more importantly, to give time and bandwidth and focus back to the teams to make sure that we were prioritizing and focusing the business on what really matters.

Zain Richardson: It's a case of how do we communicate that correctly, both internally and externally, and make sure that our members are educated about the different value propositions that we have in the business and make it clear to them. On that, which is important, is when I joined the business, I found a complicated business with multiple business lines, multiple activities. As I said, I took a hard look at what we were doing. Did it make sense for the business generally? Did it make sense for the business right now? We made decisions with the board on exiting unprofitable projects in order to obviously improve our margin, but also more importantly, to give time and bandwidth and focus back to the teams to make sure that we were prioritizing and focusing the business on what really matters.

Speaker #1: And then on that, which is important, is we—when I joined the business, I found a complicated business with multiple business lines, multiple activities.

Speaker #1: And as I said, I took a hard look at what we were doing. Did it make sense for the business generally? Did it make sense for the business right now?

Speaker #1: And we made decisions with the board on exiting unprofitable projects in order to, obviously, improve our margin but also, more importantly, to give time, bandwidth, and focus back to the teams to make sure that we were prioritizing and focusing the business on what really matters.

Speaker #1: We have exited some hospitality projects, while also retaining contractual upsides in terms of incentive fees and payments that will be made in later stages of those contracts, which we had negotiated as Asmallworld.

[Company Representative] (ASMALLWORLD): We have exited some hospitality projects, while also retaining contractual upsides in terms of incentive fees and payments that will be made in later stages of those contracts, which we had negotiated as ASMALLWORLD, we've retained them. So, exiting from the short-term cost and resource drain, but also retaining that future upside when the project's underway. Also consolidating teams and business units to reduce those silos I mentioned. So we had and we still have separate businesses, but my view is, without getting too matrixed, we need to reduce the silos and unnecessary complexity. There's been great progress against that. Now, thinking about our technology, I mentioned about data unification, analytics, and automation.

Zain Richardson: We have exited some hospitality projects, while also retaining contractual upsides in terms of incentive fees and payments that will be made in later stages of those contracts, which we had negotiated as ASMALLWORLD, we've retained them. So, exiting from the short-term cost and resource drain, but also retaining that future upside when the project's underway. Also consolidating teams and business units to reduce those silos I mentioned. So we had and we still have separate businesses, but my view is, without getting too matrixed, we need to reduce the silos and unnecessary complexity. There's been great progress against that. Now, thinking about our technology, I mentioned about data unification, analytics, and automation.

Speaker #1: We've retained them, so we're exiting from the short-term cost and sort of resource drain, but also retaining that future upside when the project's underway. And then we're also consolidating teams and business units to reduce those silos I mentioned.

Speaker #1: So, we have, and we had, and we still have separate businesses. But my view is, without getting too matrix, we need to reduce the silos and unnecessary complexity.

Speaker #1: And there's been great progress against that. Now, thinking about our technology—and I mentioned data unification, analytics, and automation—so I shared that we have a project called Project Atlas, which is a company-wide program of work.

[Company Representative] (ASMALLWORLD): I shared that we have a project called Project Atlas, which is a cross-company program of work, and this is really firstly defining our data and make sure we understand it and where it lives, and creating a plan of how we unify it across different parts of the business in order to integrate AI and ML tools that will help us process things more quickly in order to drive a better member experience and also cross-sell, upsell, and provide better revenue. So obviously both save on the cost, but ultimately scale our revenue as well. Most importantly, of course, future-proof the platform going forward. So in the H1 of this year, we've had key stage gates or milestones in that process. First was obviously an audit. So we looked at our existing technology estate. Where do we function today?

Zain Richardson: I shared that we have a project called Project Atlas, which is a cross-company program of work, and this is really firstly defining our data and make sure we understand it and where it lives, and creating a plan of how we unify it across different parts of the business in order to integrate AI and ML tools that will help us process things more quickly in order to drive a better member experience and also cross-sell, upsell, and provide better revenue. So obviously both save on the cost, but ultimately scale our revenue as well. Most importantly, of course, future-proof the platform going forward. So in the H1 of this year, we've had key stage gates or milestones in that process. First was obviously an audit. So we looked at our existing technology estate. Where do we function today?

Speaker #1: And this is really, firstly, defining our data and making sure we understand it and where it lives, and creating a plan for how we unify it across different parts of the business.

Speaker #1: In order to integrate AI and ML tools, that will help us process things more quickly in order to drive a better member experience, and also cross-sell upsell and provide better revenue so obviously both save on the cost, but ultimately scale our revenue as well.

Speaker #1: And most importantly, of course, future-proof the platform going forward. So in the first half of this year, we've had key, sort of, stage gates and milestones in that process.

Speaker #1: First was obviously an audit, so we looked at our existing technology estate: where do we function today, and where does data lie across different parts of the business?

[Company Representative] (ASMALLWORLD): Where does data lie across different parts of the business? Where would we need to connect? What data is not connected? We did deep dives by function, not just on the commercial and member side, but also looking at the operational side of the business, finance, et cetera. Then we also identified key off-the-shelf automation tools that could really help us save time or increase revenue most quickly. So one example of that is I mentioned about automated commission tracking and processing for Collection. We tested that. It's integrated. It's working great. We did the same within HR. As many of you know, lots of HR departments and lots of, well, lots of department, any department ends up doing workarounds on Google Sheets or et cetera.

Zain Richardson: Where does data lie across different parts of the business? Where would we need to connect? What data is not connected? We did deep dives by function, not just on the commercial and member side, but also looking at the operational side of the business, finance, et cetera. Then we also identified key off-the-shelf automation tools that could really help us save time or increase revenue most quickly. So one example of that is I mentioned about automated commission tracking and processing for Collection. We tested that. It's integrated. It's working great. We did the same within HR. As many of you know, lots of HR departments and lots of, well, lots of department, any department ends up doing workarounds on Google Sheets or et cetera.

Speaker #1: Where would we need to connect? What data is not connected? We did deep dives by function, not just on the commercial and member side, but also looking at the operational side of the business, finance, et cetera.

Speaker #1: And then we also identified key off-the-shelf automation tools that could really help us save time or increase revenue most quickly. So, one example of that is, I mentioned automated commission tracking and processing for collection.

Speaker #1: We tested that. It's integrated. It's working great. We did the same within HR. As many of you know, lots of HR departments—and, really, lots of departments—end up doing workarounds on Google Sheets or et cetera.

Speaker #1: We launched certain tools, both in terms of expense tracking, leave tracking, et cetera, that the business hadn't had, to automate those, save time across the whole business, and make it cleaner, with more accurate data.

[Company Representative] (ASMALLWORLD): We launched certain tools, both in terms of expense tracking, lead tracking, et cetera, that the business hadn't had, to automate those, save time across the whole business, make it cleaner, more accurate data. Then very importantly, we had a test of how we might use AI in our development capabilities going forward, specifically for a campaign that we ran with Lufthansa Group, with Miles & More, just before the end of the period, so June and July of this year. We used AI to build different versions of our pages, to introduce a level of tracking of abandoned cart, of webinar lead generation collection of data for webinar lead generation, and lots of, let's say, learnings to quickly test of what might matter and what will help us to drive revenue in future campaigns.

Zain Richardson: We launched certain tools, both in terms of expense tracking, lead tracking, et cetera, that the business hadn't had, to automate those, save time across the whole business, make it cleaner, more accurate data. Then very importantly, we had a test of how we might use AI in our development capabilities going forward, specifically for a campaign that we ran with Lufthansa Group, with Miles & More, just before the end of the period, so June and July of this year. We used AI to build different versions of our pages, to introduce a level of tracking of abandoned cart, of webinar lead generation collection of data for webinar lead generation, and lots of, let's say, learnings to quickly test of what might matter and what will help us to drive revenue in future campaigns.

Speaker #1: And then, very importantly, we had a test of how we might use AI in our development capabilities going forward, specifically for a campaign that we ran with Lufthansa Group, with Miles & More, just before the end of the period.

Speaker #1: So, June and July of this year. We used AI to build different versions of our pages, to introduce a level of tracking for abandoned carts, for webinar lead generation collection, and for the collection of data for webinar lead generation.

Speaker #1: Lots of, let's say, learnings to quickly test what might matter and what will help us drive revenue in future campaigns. We were extremely pleased, as was the partner, that this was one of the most successful campaigns we've ever run in the history of the company.

[Company Representative] (ASMALLWORLD): We're extremely pleased, as was the partner, that this was one of the most successful campaigns we've ever run in the history of the company. Again, this is going back three or four years. This was enabled by AI in the development of the campaign marketing and merchandising. That was a great Proof of Concept. So moving into the second phase, we took some of those learnings and then added other Proofs of Concept in different parts of the business to understand where automation and AI can really accelerate on growth, on the revenue and profit side, but also dramatically reduce manual processes that we have today. Then also around help in aiding decision-making. As with every business I've worked in, it's often hard to get access to the right data and trust the data, et cetera.

Zain Richardson: We're extremely pleased, as was the partner, that this was one of the most successful campaigns we've ever run in the history of the company. Again, this is going back three or four years. This was enabled by AI in the development of the campaign marketing and merchandising. That was a great Proof of Concept. So moving into the second phase, we took some of those learnings and then added other Proofs of Concept in different parts of the business to understand where automation and AI can really accelerate on growth, on the revenue and profit side, but also dramatically reduce manual processes that we have today. Then also around help in aiding decision-making. As with every business I've worked in, it's often hard to get access to the right data and trust the data, et cetera.

Speaker #1: Again, this is going back three or four years, and this was enabled by AI in the development of the campaign, marketing, and merchandising. So that was a great proof of concept.

Speaker #1: And so, moving into the second phase, we took some of those learnings and then added other proofs of concept in different parts of the business to understand where automation and AI can really accelerate growth on the revenue and profit side, but also dramatically reduce manual processes that we have today.

Speaker #1: So, and then also around helping to aid decision-making. As with every business I've worked in, it's often hard to get access to the right data and trust the data, et cetera.

Speaker #1: So we've gone through a process to have direct connectivity to our underlying databases, into a reporting tool, to start to be able to report on member behaviors, business unit transaction reporting, all of those kinds of things, which didn't exist in the business before.

[Company Representative] (ASMALLWORLD): We've gone through a process to have direct connectivity to our underlying databases into a reporting tool to start to be able to report on member behaviors, business unit transaction reporting, all of those kind of things which didn't exist in the business before. As a former management consultant and a semi-reformed data monkey, being able to access so much of this data in visual format, in trend format, is huge. This was a massive undertaking in the H1 2026, which will allow us to more quickly make those decisions going forward. We've also started to connect our CRMs across different parts of the business to really have that, I'm reluctant to say single customer view. We do have that in certain parts of the business, but not everywhere. So we're on that journey.

Zain Richardson: We've gone through a process to have direct connectivity to our underlying databases into a reporting tool to start to be able to report on member behaviors, business unit transaction reporting, all of those kind of things which didn't exist in the business before. As a former management consultant and a semi-reformed data monkey, being able to access so much of this data in visual format, in trend format, is huge. This was a massive undertaking in the H1 2026, which will allow us to more quickly make those decisions going forward. We've also started to connect our CRMs across different parts of the business to really have that, I'm reluctant to say single customer view. We do have that in certain parts of the business, but not everywhere. So we're on that journey.

Speaker #1: And as a former management consultant and a semi-reformed data monkey, being able to access so much of this data in visual format, in trend format, is huge.

Speaker #1: And this was a massive undertaking in the second half of sorry, the first half of 2026, which will allow us to make more quickly make those decisions going forward.

Speaker #1: And we've also started to connect our CRMs across different parts of the business to really have that. I'm reluctant to say 'single customer view.'

Speaker #1: We do have that in certain parts of the business, but not everywhere. And so we're on that journey. The next step, in the second half of the year going forward, is around integrating those POCs that have started to work into the operations of the business.

[Company Representative] (ASMALLWORLD): Next step, H2 of the year going forward is around integrating those POCs that have started to work into the corporations of the business. We have a new data model and architecture design that we will start to build out. We're going to start to integrate other core tools into the business to, again, really use automation and AI, not in the, let's say, way that it's often described in the media in terms of generative or even to a certain extent agentic AI, but really use it to accelerate processes within the business and also help decision making as well as serve our members better.

Zain Richardson: Next step, H2 of the year going forward is around integrating those POCs that have started to work into the corporations of the business. We have a new data model and architecture design that we will start to build out. We're going to start to integrate other core tools into the business to, again, really use automation and AI, not in the, let's say, way that it's often described in the media in terms of generative or even to a certain extent agentic AI, but really use it to accelerate processes within the business and also help decision making as well as serve our members better.

Speaker #1: We have a new data model and architecture design that we will start to build out. And we're going to start to integrate other core tools into the business to, again, really use automation and AI, not in the, let's say, way that it's often described in the media in terms of generative or even to a certain extent agentic AI, but really use it to accelerate processes within the business to and also help decision-making as well as serve our members better.

Speaker #1: We've restructured the tech team. So, we've had a 50% reduction in tech team costs, some of which came through in the first half of the year, and some of which will come through in the second half of the year.

[Company Representative] (ASMALLWORLD): We have restructured the tech team, so we have had a 50% reduction in the tech team costs, which some of it came through in the H1 of the year, and some of it will come through in the H2 of the year. That will impact our future years' amortization charges, which we can go through in the finance section, because it was time to right size the technology team and also make sure we are best placed to take advantage of the incredible efficiencies and opportunities that automation and AI can provide. Most importantly, allow us to have trusted data at the member level. With that, I will move on to segment reporting. Firstly, looking at our revenue from our subscription.

Zain Richardson: We have restructured the tech team, so we have had a 50% reduction in the tech team costs, which some of it came through in the H1 of the year, and some of it will come through in the H2 of the year. That will impact our future years' amortization charges, which we can go through in the finance section, because it was time to right size the technology team and also make sure we are best placed to take advantage of the incredible efficiencies and opportunities that automation and AI can provide. Most importantly, allow us to have trusted data at the member level. With that, I will move on to segment reporting. Firstly, looking at our revenue from our subscription.

Speaker #1: And also, that will impact our future years’ amortization charges, which we can go through in the finance section. Because it was time to right-size the technology team and also make sure we are best placed to take advantage of the incredible efficiencies and opportunities that automation and AI can provide.

Speaker #1: But most importantly, this allows us to have trusted data at the member level. With that, I'll move on to segment reporting. So, firstly, let's look at our revenue from our subscriptions.

Speaker #1: So, as I mentioned, we saw reduced demand from one particular airline partner, Emirates, partly as a result of the conflict in the Middle East, and also because of a reduction of our sales in one particular membership category.

[Company Representative] (ASMALLWORLD): As I mentioned, we saw reduced demand from one particular airline partner, Emirates, partly as a result of the conflict in the Middle East, also because of a reduction of our sales in one particular membership category. This reduction and this impact when we saw geopolitical events or external factors really underscored for me the critical importance of diversifying our partner base. That is why we targeted, negotiated, and launched new partnerships with Cathay Pacific, with Turkish Airlines, now with Marriott, and we will also be, as I say, adding other partners because being overly reliant on this particular business vertical means that things can change very quickly. There was some compression on EBITDA margin because of the investment to launch some of our new partners, which we believe will improve over time in terms of that return to that roughly 5% margin as they start to ramp up.

Zain Richardson: As I mentioned, we saw reduced demand from one particular airline partner, Emirates, partly as a result of the conflict in the Middle East, also because of a reduction of our sales in one particular membership category. This reduction and this impact when we saw geopolitical events or external factors really underscored for me the critical importance of diversifying our partner base. That is why we targeted, negotiated, and launched new partnerships with Cathay Pacific, with Turkish Airlines, now with Marriott, and we will also be, as I say, adding other partners because being overly reliant on this particular business vertical means that things can change very quickly. There was some compression on EBITDA margin because of the investment to launch some of our new partners, which we believe will improve over time in terms of that return to that roughly 5% margin as they start to ramp up.

Speaker #1: This reduction and this impact, when we saw geopolitical events or external factors, really underscored for me the critical importance of diversifying our partner base.

Speaker #1: That's why we targeted, negotiated, and launched new partnerships with Cathay Pacific, with Turkish Airlines, now with Marriott, and will also, as I say, be adding other partners.

Speaker #1: Because being overly reliant on this particular business vertical means that things can change very quickly. There was some compression on EBITDA margin because of the investment to launch some of our new partners, which we believe will improve over time in terms of that return to that roughly 5% margin.

Speaker #1: As they start to ramp up, but obviously, as we saw a decline in some of the existing products, there are still some fixed costs in the business, which meant that we had a slightly lower EBITDA margin.

[Company Representative] (ASMALLWORLD): Obviously, as we saw a decline in some of the existing products, there is some still fixed cost in the business which meant that we had a slightly lower EBITDA margin. As I say, the decrease in the subscription business was also related to some conscious decisions we made to discontinue parts of that business. The services business is really the driver of the transformation across ASMALLWORLD. I have mentioned this a few times on this call, but also on previous calls, that the future of ASMALLWORLD is really about being a trusted brand and service to our members. We will continue to have membership revenue in the business, and that is the way in terms of becoming a member of ASMALLWORLD.

Zain Richardson: Obviously, as we saw a decline in some of the existing products, there is some still fixed cost in the business which meant that we had a slightly lower EBITDA margin. As I say, the decrease in the subscription business was also related to some conscious decisions we made to discontinue parts of that business. The services business is really the driver of the transformation across ASMALLWORLD. I have mentioned this a few times on this call, but also on previous calls, that the future of ASMALLWORLD is really about being a trusted brand and service to our members. We will continue to have membership revenue in the business, and that is the way in terms of becoming a member of ASMALLWORLD.

Speaker #1: As I said, the decrease in the subscription business was also related to some conscious decisions we made to discontinue parts of that business. The services business is really the driver of the transformation across ASMALLWORLD.

Speaker #1: And I've mentioned this a few times on this call, but also on previous calls, that the future of ASMALLWORLD is really about being a trusted brand and service to our members.

Speaker #1: We will continue to have membership revenue in the business, and that's the way in, in terms of becoming a member of ASmallWorld. But the future and the long-term profitability—and increasing profitability—is around once you're a member with us and you trust us; then you see all of the incredible products, partners, and services that we can offer you.

[Company Representative] (ASMALLWORLD): The future and the long-term profitability and increasing profitability is around once you are a member with us and you trust us, and then you see all of the incredible products, partners, services that we can offer you. You dedicate a greater amount of your spend to us, which enables us ultimately to secure that higher margin and higher levels of commissions. We saw some decline in the top line on our services business. As I said, it is because we discontinued certain hospitality projects, but also decided to end certain long-standing events that were non-profitable for the business. However, at the same time, we saw only a 3x growth in our EBITDA margin for our services business and a huge margin growth, which was expected because we know that this part of the business is higher margin.

Zain Richardson: The future and the long-term profitability and increasing profitability is around once you are a member with us and you trust us, and then you see all of the incredible products, partners, services that we can offer you. You dedicate a greater amount of your spend to us, which enables us ultimately to secure that higher margin and higher levels of commissions. We saw some decline in the top line on our services business. As I said, it is because we discontinued certain hospitality projects, but also decided to end certain long-standing events that were non-profitable for the business. However, at the same time, we saw only a 3x growth in our EBITDA margin for our services business and a huge margin growth, which was expected because we know that this part of the business is higher margin.

Speaker #1: You dedicate a greater amount of your spend to us, which enables us, ultimately, to secure that higher margin and higher levels of commissions. So we saw some decline in the top line on our services business.

Speaker #1: As I said, it's because we discontinued certain hospitality projects, but also decided to end certain long-standing events that were non-profitable for the business. However, at the same time, we saw nearly a 3x growth in our EBITDA margin for our services business and a huge margin growth.

Speaker #1: Which was expected, because we know that this part of the business is higher margin. And as we scale and accelerate here, this will continue to drive the weighted margin across the whole business, which obviously, as you saw—and you'll see here in the consolidated financials—is significantly higher than it has been for many, many years.

[Company Representative] (ASMALLWORLD): As we scale and accelerate here, this will continue to drive the weighted margin across the whole business, which obviously, as you saw, and you will see here in the consolidated financials, is significantly higher than it has been for many, many years. We had lower sales, as I mentioned, due to exiting lower margins, non-strategic projects, impact of lower sales of some of our Emirates Skywards miles-based products. Our direct expenses reduced by 56%. Obviously a much greater reduction than our revenue reduction. That is not just because we did not sell as many memberships, but because those activities that had been driving revenue had been at such a low margin that we were able to reduce those direct expenses associated and ultimately drive both higher gross margin, but also a higher net margin.

Zain Richardson: As we scale and accelerate here, this will continue to drive the weighted margin across the whole business, which obviously, as you saw, and you will see here in the consolidated financials, is significantly higher than it has been for many, many years. We had lower sales, as I mentioned, due to exiting lower margins, non-strategic projects, impact of lower sales of some of our Emirates Skywards miles-based products. Our direct expenses reduced by 56%. Obviously a much greater reduction than our revenue reduction. That is not just because we did not sell as many memberships, but because those activities that had been driving revenue had been at such a low margin that we were able to reduce those direct expenses associated and ultimately drive both higher gross margin, but also a higher net margin.

Speaker #1: So, we had lower sales, as I mentioned, due to exiting lower-margin, non-strategic projects, and the impact of lower sales of some of our Emirates Skywards Miles-based products.

Speaker #1: Our direct expenses reduced by 56%, so obviously at a much greater reduction than our revenue reduction. And that is not just because we didn’t sell as many memberships, but because those activities that had been driving revenue had been at such a low margin that we were able to reduce those direct expenses associated, and ultimately drive both higher gross margin, but also higher net margin following our strategic review of technology and people.

[Company Representative] (ASMALLWORLD): Following our strategic review of technology and people, we were able to reduce personnel and R&D costs by over 20% each. Again, to accelerate the growth in the business, not just to save costs. Landing at an 8.5% or 8.4% EBITDA margin versus 4.9% last year. We saw some creep up in our operating expenses. Largely, that was due to some extraordinary costs connected to exiting some of those projects in the H1 of the year, which we expect to even out in the H2 of the year. You will see a higher amortization charge in 2026 H1 versus 2025. This is resulting from the capitalization of our R&D in 2024 and 2025 related to our membership change and rebranding, and the reduction of the amortization period from five years to three years in 2023.

Zain Richardson: Following our strategic review of technology and people, we were able to reduce personnel and R&D costs by over 20% each. Again, to accelerate the growth in the business, not just to save costs. Landing at an 8.5% or 8.4% EBITDA margin versus 4.9% last year. We saw some creep up in our operating expenses. Largely, that was due to some extraordinary costs connected to exiting some of those projects in the H1 of the year, which we expect to even out in the H2 of the year. You will see a higher amortization charge in 2026 H1 versus 2025. This is resulting from the capitalization of our R&D in 2024 and 2025 related to our membership change and rebranding, and the reduction of the amortization period from five years to three years in 2023.

Speaker #1: We were able to reduce personnel and R&D costs by over 20% each—again, to accelerate the growth in the business, not just to save costs.

Speaker #1: Landing at an 8.5% or 8.4% EBITDA margin versus 4.9% last year. We saw some creep up in our operating expenses; largely, that was due to some extraordinary costs connected to exiting some of those projects in the first half of the year, which we expect to even out in the second half of the year.

Speaker #1: You'll see a higher amortization charge in the first half of 2026 versus 2025. This is resulting from the capitalization of our R&D in '24 and '25 related to our membership change.

Speaker #1: And rebranding, and the reduction of the amortization period from five years to three years in 2023. So while we will continue to see a large amortization charge in the coming period, this is obviously a non-cash impact on the business.

[Company Representative] (ASMALLWORLD): While we will continue to see a large amortization charge in the coming period, this is obviously a non-cash impact on the business. Our financial result, our net negative financial result of CHF 5K, was really driven by fluctuating exchange rates but was basically break even. Our net result ultimately was driven by a tax provision that we have because our small travel business has been so strong that we have to have a higher tax provision within that business. Effectively, aside from that income tax provision, the business, the EBT or ordinary result was break even, which we are very proud of against a significant decline on our top line. Looking at our balance sheet, our cash position improved because of better working capital management and time management of the working capital. Our short-term receivables decreased because we settled some of those balances.

Zain Richardson: While we will continue to see a large amortization charge in the coming period, this is obviously a non-cash impact on the business. Our financial result, our net negative financial result of CHF 5K, was really driven by fluctuating exchange rates but was basically break even. Our net result ultimately was driven by a tax provision that we have because our small travel business has been so strong that we have to have a higher tax provision within that business. Effectively, aside from that income tax provision, the business, the EBT or ordinary result was break even, which we are very proud of against a significant decline on our top line. Looking at our balance sheet, our cash position improved because of better working capital management and time management of the working capital. Our short-term receivables decreased because we settled some of those balances.

Speaker #1: And our financial result—our net negative financial result of $5,000—was really driven by fluctuating exchange rates, but was basically break even. Our net result ultimately was driven by a tax provision that we have because our Small World Travel business has been so strong that we have to have a higher tax provision within that business.

Speaker #1: So effectively, we are aside from that income tax provision, the business, the EBT or ordinary result was break even, which we're very proud of against a significant decline on our top line.

Speaker #1: Looking at our balance sheet, our cash position improved because of better working capital management and timing management of the working capital. Our short-term receivables decreased because we settled some of those balances.

Speaker #1: We increased some of our prepayments and accrued income because of a supply of payments that we made, which is related to the higher demand for travel services and events and travel, which is great.

[Company Representative] (ASMALLWORLD): We increased some of our prepayments and accrued income because of supplier payments that we made, which is related to the higher demand for travel services and events and travel, which is great. Our intangible assets decreased in the period for two reasons. One, lower capitalization because of the strategic review of our technology and decision to reprioritize investment in the platform. We were not capitalizing as much this period. Also continued large amortization charge, so our intangible assets, which are effectively driven by our tech investment, reduced during the period. On the liability side, in total, our current liabilities are up versus the end of last year. However, this is driven by the reclassification of our loan which was used in 2022 for the purchase of our stake in GHA, Global Hotel Alliance.

Zain Richardson: We increased some of our prepayments and accrued income because of supplier payments that we made, which is related to the higher demand for travel services and events and travel, which is great. Our intangible assets decreased in the period for two reasons. One, lower capitalization because of the strategic review of our technology and decision to reprioritize investment in the platform. We were not capitalizing as much this period. Also continued large amortization charge, so our intangible assets, which are effectively driven by our tech investment, reduced during the period. On the liability side, in total, our current liabilities are up versus the end of last year. However, this is driven by the reclassification of our loan which was used in 2022 for the purchase of our stake in GHA, Global Hotel Alliance.

Speaker #1: And our intangible assets decreased in the period for two reasons. One, lower capitalization because of the strategic review of our technology and the decision to reprioritize investment in the platform.

Speaker #1: And so, we weren't capitalizing as much this period, and also continued large amortization charges. So, our intangible assets—which are effectively driven by our tech investment—reduced during the period.

Speaker #1: So and then on the liability side, in total, our current liabilities are up versus the end of last year. However, this is driven by the reclassification of our loan which we have which was used in 2022 for the purchase of our stake in GHA Global Hotel Alliance.

Speaker #1: And this reclassification comes into short-term financial liabilities because it's coming due in March 2027. Just as an update on that, we are in active conversations with several partners and institutions on either the extension or refinancing of that loan before it comes due.

[Company Representative] (ASMALLWORLD): This reclassification comes into short-term financial liabilities because it is coming due in March 2027. Just as an update on that, we are in active conversations with several partners and institutions on either the extension or refinancing of that loan before it comes due. Net of that 2.4, actually, our current liabilities decreased year-on-year. Or sorry, not year-on-year, but from end of year 2025 to H1 2026. In terms of the increase on payables, this meant we had a, as I mentioned earlier, a slightly different promotional calendar, and we had above average balance of payables for air miles in particular at 30 June 2026. These payables were then settled in Q3 of 2026. Short-term liabilities, as I say, were related to the reclassification of the bank loan.

Zain Richardson: This reclassification comes into short-term financial liabilities because it is coming due in March 2027. Just as an update on that, we are in active conversations with several partners and institutions on either the extension or refinancing of that loan before it comes due. Net of that 2.4, actually, our current liabilities decreased year-on-year. Or sorry, not year-on-year, but from end of year 2025 to H1 2026. In terms of the increase on payables, this meant we had a, as I mentioned earlier, a slightly different promotional calendar, and we had above average balance of payables for air miles in particular at 30 June 2026. These payables were then settled in Q3 of 2026. Short-term liabilities, as I say, were related to the reclassification of the bank loan.

Speaker #1: So, net of that $2.4 million, actually our current liabilities decreased—not year on year, but from end of year 2025 to half year 2026.

Speaker #1: And then in terms of the increase on payables, this meant we had, as I mentioned earlier, a slightly different promotional calendar. And so we had an above average balance of payables for air miles in particular at June 30th, 2026.

Speaker #1: These payables were then settled in Q3 of 2026. And then short-term liabilities, as I say, were related to the reclassification of the bank loan. But we have continued to, as I say, make improvements and reduce our current liabilities position.

[Company Representative] (ASMALLWORLD): We have continued to, as I say, make improvements and reduce our current liabilities position. On the cash flow side, our net result was negative, as I mentioned, partly due to exiting non-strategic projects. As you will see here, we also had a charge, which we will get to in the second part of the statement, related to our capital increase a few years ago. Our position improved in terms of short-term receivables because we were able to sell some more of the receivables that were sitting there on our balance sheet. This was offset by higher prepayments for future travel arrangements. Which means that our operating cash flow actually improved in the period versus H1 2025, which is good to see. Again, further indication that this transformation is on track and working.

Zain Richardson: We have continued to, as I say, make improvements and reduce our current liabilities position. On the cash flow side, our net result was negative, as I mentioned, partly due to exiting non-strategic projects. As you will see here, we also had a charge, which we will get to in the second part of the statement, related to our capital increase a few years ago. Our position improved in terms of short-term receivables because we were able to sell some more of the receivables that were sitting there on our balance sheet. This was offset by higher prepayments for future travel arrangements. Which means that our operating cash flow actually improved in the period versus H1 2025, which is good to see. Again, further indication that this transformation is on track and working.

Speaker #1: On the cash flow side, our net result was negative, as I mentioned, partly due to exiting non-strategic projects. But as you'll see here, we also had a charge, which we'll get to in the second part of the statement, related to our capital increase a few years ago.

Speaker #1: Our position improved in terms of short-term receivables because we were able to sell more of the receivables that were sitting there on our balance sheet.

Speaker #1: But this was offset by higher prepayments for future travel arrangements, which means that our operating cash flow actually improved in the period versus half-year 2025, which is good to see.

Speaker #1: Again, further indication that this transformation is on track and working. We had an increase in payables because we had a great promotion and we sold a lot.

[Company Representative] (ASMALLWORLD): We had an increase in payables because we had a great promotion and we sold a lot, which is good. Our liabilities decreased because we recognized the recognized revenue from former periods was reduced. The second part of the cash flow. We had lower investment in intangibles because of lower capitalization of development costs as well as I said, the strategic review of our technology team. We cut some of that team down. Ultimately our ongoing capitalization charges will continue to be lower. We had one extraordinary charge related to the capital increase, which was a levy which came due in 2026. Still landing in a net closing cash balance position higher than 2025, but also higher than the beginning of 2020, since beginning of 2025, the highest cash position. Moving to the outlook for the full year.

Zain Richardson: We had an increase in payables because we had a great promotion and we sold a lot, which is good. Our liabilities decreased because we recognized the recognized revenue from former periods was reduced. The second part of the cash flow. We had lower investment in intangibles because of lower capitalization of development costs as well as I said, the strategic review of our technology team. We cut some of that team down. Ultimately our ongoing capitalization charges will continue to be lower. We had one extraordinary charge related to the capital increase, which was a levy which came due in 2026. Still landing in a net closing cash balance position higher than 2025, but also higher than the beginning of 2020, since beginning of 2025, the highest cash position. Moving to the outlook for the full year.

Speaker #1: Which is good. But then our liabilities decreased because the recognized revenue from previous periods was reduced. And then the second part of the cash flow.

Speaker #1: So, we had lower investment in intangibles because of lower capitalization of development costs, as well as, as I said, the strategic review of our technology team.

Speaker #1: And so we cut some of that team down. So, ultimately, our ongoing capitalization charges will continue to be lower. And then we had one extraordinary charge related to the capital increase, which was a levy that came due in 2026.

Speaker #1: But still landing in a net closing cash balance position higher than in 2025, and also higher than at the beginning of 2020. Since the beginning of 2025, this is the highest cash position.

Speaker #1: Moving to the outlook for the full year: our transformation will continue through the remainder of the year. We are revising down our net sales expectation.

[Company Representative] (ASMALLWORLD): Our transformation will continue through the remainder of the year. We are revising down our net sales expectation. You will see that our net sales for the H1 were around CHF 6 million, and we expect for the full year between CHF 12 million and CHF 14 million. This is, as I said, as a result of the strategic reprioritization of business that is margin accretive, not loss-making or even break even. We are revising our membership growth expectation upwards. Instead of 135,000 to 140,000, we expect to be between 140,000 to 150,000. We are not investing in our free membership growth, but this continues to happen, and we are continuing to build that pipeline. It is great to see that our members are still engaged within the business. Ultimately, our EBITDA margin will remain unchanged, that guidance that we shared at the beginning of the year.

Zain Richardson: Our transformation will continue through the remainder of the year. We are revising down our net sales expectation. You will see that our net sales for the H1 were around CHF 6 million, and we expect for the full year between CHF 12 million and CHF 14 million. This is, as I said, as a result of the strategic reprioritization of business that is margin accretive, not loss-making or even break even. We are revising our membership growth expectation upwards. Instead of 135,000 to 140,000, we expect to be between 140,000 to 150,000. We are not investing in our free membership growth, but this continues to happen, and we are continuing to build that pipeline. It is great to see that our members are still engaged within the business. Ultimately, our EBITDA margin will remain unchanged, that guidance that we shared at the beginning of the year.

Speaker #1: You'll see that our net sales for the half-year were around $6 million. And so we expect for the full year between $12 and $14 million.

Speaker #1: This is, as I said, a result of the strategic reprioritization toward business that is margin accretive, not loss-making or even break even. We are revising our membership growth expectation upwards.

Speaker #1: So instead of 135 to 140,000, we expect to be between 140 to 150,000. So we are not investing heavily in, we're not investing in our free membership growth, but this continues to happen.

Speaker #1: And we're continuing to build that pipeline, so it's great to see that our members are still engaged within the business. Ultimately, our EBITDA margin will remain unchanged.

Speaker #1: That guidance that we shared at the beginning of the year—so, again, we continue to see a picture where we will continue to work on increasing and strengthening our profit margin.

[Company Representative] (ASMALLWORLD): So again, we continue to see a picture where we will continue to work on increasing and strengthening our profit margin and increasing focus, discontinuing things that are not the right thing for the business, making those choices, and accelerating the business towards the transformation journey that it is on. With that, I will thank everybody for their time. We have got a couple more minutes, so I will open to questions. Hope I can see questions if there are questions. Okay. A couple of questions, and I will read them out, then I will go through them. First question is, "Can you elaborate on what businesses were discontinued?" Yes, I can. We had a couple of different areas. One, within hospitality, there were management contracts and asset management.

Zain Richardson: So again, we continue to see a picture where we will continue to work on increasing and strengthening our profit margin and increasing focus, discontinuing things that are not the right thing for the business, making those choices, and accelerating the business towards the transformation journey that it is on. With that, I will thank everybody for their time. We have got a couple more minutes, so I will open to questions. Hope I can see questions if there are questions. Okay. A couple of questions, and I will read them out, then I will go through them. First question is, "Can you elaborate on what businesses were discontinued?" Yes, I can. We had a couple of different areas. One, within hospitality, there were management contracts and asset management.

Speaker #1: And increasing focus means discontinuing things that are not the right fit for the business. Making those choices and accelerating the business towards the transformation journey that it's on.

Speaker #1: With that, I'll thank everybody for their time. We've got a couple more minutes, so I will open it up to questions. Let me see if I can see any questions, if there are questions.

Speaker #1: Okay, a couple of questions. I'll read them out and go through them. So, first question is: can you elaborate on what businesses were discontinued?

Speaker #1: Yes, I can. So we had some large—a couple of different areas. One, within hospitality, there were management contracts and asset management, so management of hotels and asset management contracts on behalf of owners that we had signed in previous years, which were generating—some of them were generating retainer fees, some of them were not.

[Company Representative] (ASMALLWORLD): Management of hotels and asset management contracts on behalf of owners that we had signed in previous years, some of them were generating retainer fees, some of them were not. They had baked in future incentive fees into the contracts, but those were obviously connected to the development of those hotels. That meant there was great upside in future years for those particular projects, which we have retained in the exiting of those arrangements, but in the short term, was a drain on both cash and profit and also organizational focus. On the event side, you will see that we had, in the last 3 or 4 years, a flagship weekend in Saint-Tropez in the summer. We decided not to do that this summer. It had not been a profit generator in the business in recent times.

Zain Richardson: Management of hotels and asset management contracts on behalf of owners that we had signed in previous years, some of them were generating retainer fees, some of them were not. They had baked in future incentive fees into the contracts, but those were obviously connected to the development of those hotels. That meant there was great upside in future years for those particular projects, which we have retained in the exiting of those arrangements, but in the short term, was a drain on both cash and profit and also organizational focus. On the event side, you will see that we had, in the last 3 or 4 years, a flagship weekend in Saint-Tropez in the summer. We decided not to do that this summer. It had not been a profit generator in the business in recent times.

Speaker #1: They had baked in future incentive fees into the contracts, but those were obviously connected to the development of those hotels. So that meant there was great upside in future years for those particular projects, which we have retained in the exiting of those arrangements.

Speaker #1: But in the short term, it was a drain on both cash and profit, and also organizational focus. Then on the event side, you'll see that we have had, in the last three or four years, a flagship weekend in Saint-Tropez in the summer.

Speaker #1: We decided not to do that this summer. It had not been a profit generator for the business in recent times. And we have been rethinking how we approach flagship events generally within the business, because they had been viewed historically as a marketing expense.

[Company Representative] (ASMALLWORLD): We have been rethinking how we approach flagship events generally within the business because they had been viewed historically in the business as a marketing expense. I think that I have been to them, and I think they are great ways to bring the community together. However, I have been in many businesses, and I have led marketing teams in many businesses, and when something gets labeled a marketing expense when it is not making a profit, there is sometimes a disconnect there. That was one of the things that I said, let us revisit and sort of let us go back to first principles and say, "What are we trying to achieve with our flagship get-togethers? How do we want to bring our members together? What do we want to do?" For the winter, we are starting from, as I say, from the drawing board and rethinking that for our members.

Zain Richardson: We have been rethinking how we approach flagship events generally within the business because they had been viewed historically in the business as a marketing expense. I think that I have been to them, and I think they are great ways to bring the community together.

Speaker #1: And so I think that I’ve been to them, and I think they’re great ways to bring the community together. However, I’ve been in many businesses, and I mean, I’ve led marketing teams in many businesses.

Zain Richardson: However, I have been in many businesses, and I have led marketing teams in many businesses, and when something gets labeled a marketing expense when it is not making a profit, there is sometimes a disconnect there. That was one of the things that I said, let us revisit and sort of let us go back to first principles and say, "What are we trying to achieve with our flagship get-togethers? How do we want to bring our members together? What do we want to do?" For the winter, we are starting from, as I say, from the drawing board and rethinking that for our members.

Speaker #1: And when something gets labeled a marketing expense, when it's not making a profit, there's sometimes a disconnect there. So that was one of the things where I said, let's revisit and sort of go back to first principles and ask, what are we trying to achieve with our flagship get-togethers?

Speaker #1: How do we want to bring our members together? What do we want to do? So, for the winter, we're starting, as I say, from the drawing board and rethinking that for our members.

Speaker #1: So those were a couple of different examples. There were many, many others, but those are a couple of different examples of projects that take a lot of organizational focus, effort, and cross-functional coordination.

[Company Representative] (ASMALLWORLD): Those were a couple of different examples. There are many others, but those are a couple of different examples of projects that take a lot of organizational focus, effort, cross-functional coordination without immediate short-term profit generation. Free offering. No, the free offering will continue. The question was, "Was Advantage designed to replace Free?" No, Advantage was designed to be the sort of space between Free and Prestige. Prestige being between 3 and 5K, depending on the benefits you elect, and then obviously our Free tier is free, and then Premium is EUR 79. Advantage was designed to sit in the middle. In the short term, we will not be discontinuing the Free tier because, as I say, it is building that great pipeline of members to move into our paid tiers. Next question.

Zain Richardson: Those were a couple of different examples. There are many others, but those are a couple of different examples of projects that take a lot of organizational focus, effort, cross-functional coordination without immediate short-term profit generation. Free offering. No, the free offering will continue. The question was, "Was Advantage designed to replace Free?" No, Advantage was designed to be the sort of space between Free and Prestige. Prestige being between 3 and 5K, depending on the benefits you elect, and then obviously our Free tier is free, and then Premium is EUR 79. Advantage was designed to sit in the middle. In the short term, we will not be discontinuing the Free tier because, as I say, it is building that great pipeline of members to move into our paid tiers. Next question.

Speaker #1: Without immediate short-term sort of profit generation. Free offering—no, the free offering will continue. Advantage was not designed—so the question was, was Advantage designed to replace free?

Speaker #1: No, Advantage was designed to be the sort of space between Free and Prestige. Prestige being between $3,000 and $5,000, depending on the benefits you elect.

Speaker #1: And then, obviously, our free tier is free, and then Premium is €79. So Advantage was designed to sit in the middle. In the short term, we won't be discontinuing the free tier.

Speaker #1: Because, as I say, it's about building that great pipeline of members to move into our paid tiers. Next question. Can you explain the strategy to move from subscriptions into services?

[Company Representative] (ASMALLWORLD): Can you explain the strategy to move into services from subscriptions?" I think those of you who have joined me on these previous earnings calls would say that this has been a focus of mine since I joined the company. One, it is around diversification of revenue. As you saw, if you are purely focused on the revenue from subscriptions, depending on what you have as your components within that membership, there is some concentration risk. More importantly, as I mentioned in terms of World's Finest Clubs being a membership business, whereas ASMALLWORLD Concierge is a membership business but also a services business because of the other revenue streams.

Zain Richardson: Can you explain the strategy to move into services from subscriptions?" I think those of you who have joined me on these previous earnings calls would say that this has been a focus of mine since I joined the company. One, it is around diversification of revenue. As you saw, if you are purely focused on the revenue from subscriptions, depending on what you have as your components within that membership, there is some concentration risk. More importantly, as I mentioned in terms of World's Finest Clubs being a membership business, whereas ASMALLWORLD Concierge is a membership business but also a services business because of the other revenue streams.

Speaker #1: I think those of you who've joined me on these previous earnings calls would say that this has been a focus of mine since I joined the company.

Speaker #1: One, it’s around diversification of revenue. As you saw, if you are purely focused on revenue from subscriptions, depending on what you have as your components within that membership, there is some concentration risk.

Speaker #1: More importantly, as I mentioned in terms of world's finest clubs being a membership business, whereas a small world concierge is a membership business, but also a services business because of the other revenue streams.

Speaker #1: Another reason to pivot or diversify into services is that it gives us the chance to serve our members in more aspects of their lives and ultimately drive share of wallet, both from the members and from the partners we work with.

[Company Representative] (ASMALLWORLD): The other reason to pivot or to diversify into services is because this gives us the chance to service our members in more aspects of their lives and ultimately drive share of wallet, both from the member but also from the partners we work with. Ultimately increase our profitability and drive future profitability, because it is usually higher margin than the memberships we sell. I think your question is around, does it relate to B2B? 100%. The services revenue includes partnerships where we provide services to partners. We have a large partnership with UBS, Swiss financial institution.

Zain Richardson: The other reason to pivot or to diversify into services is because this gives us the chance to service our members in more aspects of their lives and ultimately drive share of wallet, both from the member but also from the partners we work with. Ultimately increase our profitability and drive future profitability, because it is usually higher margin than the memberships we sell. I think your question is around, does it relate to B2B? 100%. The services revenue includes partnerships where we provide services to partners. We have a large partnership with UBS, Swiss financial institution.

Speaker #1: Increase our—ultimately increase our profitability and drive future profitability because it's usually higher margin than the memberships we sell. And then also, your question is around, does it relate to B2B?

Speaker #1: 100%. So the services revenue includes partnerships where we provide services to partners. We have a large partnership with UBS, a Swiss financial institution. We also have partnerships with other financial institutions.

[Company Representative] (ASMALLWORLD): We have other partnerships with other financial institutions in terms of services we provide to them, and that will continue to expand because it gives us that scalability on our cost base and allow us to tap into the great products, status levels, currencies, et cetera, that we have in our portfolio, negotiate with our partner to be able to provide to those particular B2B partners. "Can you explain your plans to short-term financial obligations?" What I can share there is that, like I said, we do have negotiations underway about extending our existing loan that we have with our bank today of the remaining 2.4 million, and we are having discussions about a revolving credit facility that will sit with that.

Zain Richardson: We have other partnerships with other financial institutions in terms of services we provide to them, and that will continue to expand because it gives us that scalability on our cost base and allow us to tap into the great products, status levels, currencies, et cetera, that we have in our portfolio, negotiate with our partner to be able to provide to those particular B2B partners. "Can you explain your plans to short-term financial obligations?" What I can share there is that, like I said, we do have negotiations underway about extending our existing loan that we have with our bank today of the remaining 2.4 million, and we are having discussions about a revolving credit facility that will sit with that.

Speaker #1: In terms of services, we provide to them, and that will continue to expand because it gives us that scalability on our cost base and allows us to tap into the great products, status levels, currencies, etc., that we have in our portfolio. We can negotiate with our partner to be able to provide to those particular B2B partners.

Speaker #1: Can you explain your plans to finance short-term financial obligations? What I can share there is that, like I said, we do have negotiations underway about extending our existing loan that we have with our bank today, of the remaining CHF 2.4 million.

Speaker #1: And we're having discussions about a revolving credit facility that will sit with that. One thing to note, which you will also see in the annual report, is we were successful in encouraging, let's say, GHA, in which we are a shareholder, to declare a dividend this year.

[Company Representative] (ASMALLWORLD): One thing to note that you will see also in the annual report is we were successful in encouraging, let us say, GHA, in which we are a shareholder, to declare a dividend this year. After the period close, after the half year. In July, the dividend was declared by GHA, which will be $500,000. $400,000 have been paid in August, and we expect another $100,000 to be paid in October. From a cash flow and working capital standpoint, we are in a good position there with both the cash generated by the business, but also the other cash generation sources we have. But we are continuing to look at that going forward. Lastly.

Zain Richardson: One thing to note that you will see also in the annual report is we were successful in encouraging, let us say, GHA, in which we are a shareholder, to declare a dividend this year. After the period close, after the half year. In July, the dividend was declared by GHA, which will be $500,000. $400,000 have been paid in August, and we expect another $100,000 to be paid in October. From a cash flow and working capital standpoint, we are in a good position there with both the cash generated by the business, but also the other cash generation sources we have. But we are continuing to look at that going forward. Lastly.

Speaker #1: So, after the period close, after the half year, in July, the dividend was declared by GHA, which will be $500,000. $400,000 has been paid in August.

Speaker #1: And we expect another $100,000 to be paid in October. So, from a cash flow and working capital standpoint, we are in a good position there with both cash generated by the business, but also the other cash generation sources we have.

Speaker #1: But we are continuing to look at that going forward. And then lastly, yeah, some of the working capital numbers were impacted by lower sales in the first half, because obviously, the benefit of memberships versus some of the services revenue is that we get the cash as soon as the membership is paid.

[Company Representative] (ASMALLWORLD): Yeah, some of the working capital numbers were impacted by lower sales in the H1 because obviously the benefits of memberships versus some of the services revenue is that we get the cash as soon as the membership is paid. Whereas with our services, it is often we get paid the commissions after the fact. So I mentioned earlier in the conversation that we have invested in tools and processes for commission tracking and chasing and payments because they happen once the trip that we have booked take place, or it is effectively creating a future pipeline of cash flow. So we have got much better at that. So that is another reason to create that balance in terms of future cash flow. Then last question, "Look at growth beyond 2026." I will not comment on growth beyond 2026 for the purposes of this conversation.

Zain Richardson: Yeah, some of the working capital numbers were impacted by lower sales in the H1 because obviously the benefits of memberships versus some of the services revenue is that we get the cash as soon as the membership is paid. Whereas with our services, it is often we get paid the commissions after the fact. So I mentioned earlier in the conversation that we have invested in tools and processes for commission tracking and chasing and payments because they happen once the trip that we have booked take place, or it is effectively creating a future pipeline of cash flow. So we have got much better at that. So that is another reason to create that balance in terms of future cash flow. Then last question, "Look at growth beyond 2026." I will not comment on growth beyond 2026 for the purposes of this conversation.

Speaker #1: Whereas with our services, we often get paid the commissions after the fact. As I mentioned earlier in the conversation, we've invested in tools and processes for commission tracking, chasing, and payment because these happen once the trip that we have booked takes place. It's effectively creating a future pipeline of cash flow.

Speaker #1: And so we've gotten much better at that. So that's another reason to create that balance in terms of cash and future cash flow. And then, last question.

Speaker #1: Looking at growth beyond 2026—I won't comment on growth beyond 2026 for the purposes of this conversation. But suffice it to say, we continue to expect profitable growth in those future years. 2026 is about the continuation of our transformation.

[Company Representative] (ASMALLWORLD): But suffice to say, we continue to expect profitable growth in those future years. 2026 is about continuation of our transformation. We look to continue to leverage those incredible assets we have within the business, be it our partner portfolio, the data we have on our members, our stickiness and love that we have with our members, and indeed, the brand and the platform. So with that, I will thank everybody for joining me today. I really appreciate. As you see on the website, this recording will be shared after the closing. I wish everybody a fantastic day. Thank you.

Zain Richardson: But suffice to say, we continue to expect profitable growth in those future years. 2026 is about continuation of our transformation. We look to continue to leverage those incredible assets we have within the business, be it our partner portfolio, the data we have on our members, our stickiness and love that we have with our members, and indeed, the brand and the platform. So with that, I will thank everybody for joining me today. I really appreciate. As you see on the website, this recording will be shared after the closing. I wish everybody a fantastic day. Thank you.

Speaker #1: And we look to continue to leverage those incredible assets we have within the business—be it our partner portfolio, the data we have on our members, our stickiness and the love that we have with our members, and indeed, the brand and the platform.

Speaker #1: So with that, I will thank everybody for joining us, joining me today. I really appreciate it. As you see on the website, this recording will be shared after the closing.

Browse all earnings call transcripts