Mixed results see JTG profits slump

Mixed results see JTG profits slump
By admin


Outgoing Jetset Travelworld boss Peter Lacaze has talked of a “challenging” 12 months, as the group’s profits tumbled 72% on last year.

Profit after tax for the financial year totalled $5.5 million, down from $19.2 million the previous year.

Lacaze blamed the result on reduced airfares, exchange rate volatility and industrial action against Qantas.

But he described the end result as “mixed”, with revenue growing 6% to $361.1 million and total transaction value (TTV) climbing 8% to $5.65 billion.

Its wholesale operations saw TTV growth of 30% to $858.1 million for the 12 months, while its revenue margin rose 13.4%. The result includes its newly launched ReadyRooms.com.au business, unveiled in May this year.

The firm claimed the site had been “enthusiastically embraced” by the trade, with July bookings more than double those in May.

Meanwhile, Lacaze said the retail segment, which produced a 4% increase in TTV and a revenue margin of 4.82%, had performed well in a “variable” market.

“Despite the market challenges, it is pleasing that the group generated TTV of $5.63 billion and maintained a revenue margin in excess of 6%,” he said.

The TTV of its travel management business increased 14% to $744.4 million over the year, but incurred an adjusted EBITDAI loss of $3.3 million.

JTG announced in April that losses incurred within the segment were “in excess of expectations”.

News that it would cut 110 positions across the business, predominantly in the travel management segment, followed shortly after.

Chairman Tom Dery said management would now focus on implementing restructuring plans revealed in June, and adapting the business to “current and emerging trends”.

He added that the economic outlook for the financial year ending June 2013 looked "uncertain".

 

Latest News

  • Tour Operators
  • Travel Weekly TV

What sets Eclipse Travel apart with Africa expert Hilary Dubyk: Travel Weekly TV

Join Hilary and Nancy on the couch in the weeks episode and learn a little more about why Hilary loves ‘the Mother Continent’ so much and why she thinks the expedition cruise space is one of the most exciting to watch in 2024. Hilary is an absolute Africa specialist who has found a home in […]

  • Destinations
  • Tourism

Surge in Australians visiting Japan

The number of Australians visiting Japan in the first quarter of 2024 increased by 46.3% compared to the same period in 2019, new data released by Japan National Tourism Organization (JNTO) shows. Visitor numbers in March alone were up a staggering 87.4% compared to March 2019. “These figures are fantastic to see and confirm what […]

  • Cruise
  • Luxury
  • News

Seabourn announces Western Kimberley Traditional Owners as Godparents of Seabourn Pursuit

Seabourn has named Western Kimberley Traditional Owners, the Wunambal Gaambera, as Godparents of the ultra-luxury purpose-built Seabourn Pursuit. It is the first cruise line to appoint Traditional Owners as godparents of a ship. Seabourn Pursuit embarks on its inaugural season in the Kimberley region this June. The naming ceremony will take place on Seabourn Pursuit’s […]

  • Luxury

Malolo Island Resort opens brand new Spa

Fiji’s Malolo Island has added another string to its bow – opening its $1.3 million day spa on Thursday, 18th April 2024. (Lead Image: matriarch Rosie Whitton with spa staff) Located at the edge of the resort’s luscious patch of tropical rainforest, the new “Leilani’s Spa” adds another level of elevated experiences to Malolo’s already […]