CTM snags record financial results despite “challenges”

Man near panoramic window looking at the airplane

This morning, Corporate Travel Management (CTM) reported some of its strongest financial year results ever – and we’ve got the numbers to prove it.

Their revenue before tax was over $325 million and the company’s statutory net profit for the year was $54.6 million – some of their strongest ever full-year results.

CTM’s earnings before interest, tax, depreciation and amortisation (or EBITDA) were almost $100 million in the financial year ending in July 2017 – an increase of over 40 per cent from last year’s EBITDA.

And customers clearly spent a whole lotta’ money this financial year with CTM, as their total transactional value (TTV) was almost at $4.2 million, which has risen by 16 per cent since last year.

CTM Managing Director and founder Jamie Pherous said they had continued to expand – with organic growth contributing to $16 million of its profit growth.

“We have delivered another great result despite challenges in the global economy.

“Each region in our network grew significantly above market, demonstrating that our business model and strategic investment decisions are working well for our clients and investors’, he said.

The company’s top performing region was Europe with earnings of $18.4 million – tripling since last year. CTM’s founding regions, Australia and New Zealand, also increased their earnings by 28 per cent, reaching $36.3 million.

These strong increases are the result of a highly optimised business model and an impressive 80 per cent uptake in CTM’s technology solutions by customers, according to Pherous.

“CTM’s global operations have continued to grow, with revenue up 24 per cent due to high client retention and significant new client wins, a strong technology infrastructure and the successful integration of businesses, increasing market scale,” he said.

Throughout the year, CTM has won over significant global clients due to the company’s global network and it’s SMART technology suite – a collection of travel tools which implement cost savings, efficiency and safety to corporate travel programs.

And according to them, this success isn’t going anywhere. The company expects the 2018 financial year to exceed expectations – and have estimated their EBITDA to be approximately $120-125 million, increasing by 20-30 per cent.

Pherous added that the business would continue to focus on its core initiatives moving into the next financial year – and try to make it even bigger than last year.

“Looking forward, we will continue to successfully execute CTM’s value proposition in every global market; delivering customer service excellence and industry-leading technology solutions that demonstrate a return on investment,” he said.

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Email the Travel Weekly team at traveldesk@travelweekly.com.au

corporate travel management ctm Financial year results