Technology

Webjet brings good news to investors

Webjet has announced that, excluding investing and debt repayments, the company will be cash flow positive for the first half of the 2022 financial year.

Furthermore, the ASX-listed travel giant revealed to shareholders in a statement that its WebBeds B2B business has been profitable since July 2021.

“Our post-COVID strategy is delivering results and the company will be operating cash flow positive for the first half of financial year 2022,” said Webjet managing director John Guscic (pictured above).

“The WebBeds business was profitable in July and August, and is well on track to be profitable in September. We have seen strong demand as travel restrictions ease in North America and Europe, suggesting significant upside as more international markets reopen.

Guscic said Webjet’s online travel agency business was profitable for April to July, but has been subsequently impacted by the current lockdowns in Australia and New Zealand.

He said Online Republic was profitable in April and May, but like Webjet’s OTA business, has also been impacted by lockdowns.

“However, we are confident that both businesses will return to profitability as soon as the domestic Australian and New Zealand markets reopen,” he said.

“We see a world of opportunity for Webjet. All our businesses have significant potential to grow market share by expanding into new market segments and benefiting from consumers shifting to buy travel online.

“Transformation initiatives are underway and we [are] on track to reducing costs by at least 20 per cent once the company gets back to scale. As a result, as conditions normalise, we believe our Webjet businesses will have higher market share, lower costs and greater profitability.

“While the exact timing is uncertain as our growth opportunities are driven by the opening of borders, we know demand for travel will return and we are absolutely ready to capture it.”

Webjet will report its first-half results for FY22 on 25 November 2021, after recently changing its financial year end date to 31 March.


SEE WHAT PEOPLE ARE SAYING

Leave a Reply

News

“Unfortunately, the world changed”: McGowan suspends WA border reopening indefinitely

The western state will be keeping its borders firmly closed, as Premier Mark McGowan buys more time to bolster citizens against a “flood of the disease”.

Share

CommentComments

Tourism

Thailand to resume ‘Test & Go’ quarantine waiver from February

Pack your suitcase and ready your sinuses for a holiday in Thailand that promises to greet you with a lovely PCR test.

Share

CommentComments

Hotels

AUSSIE FIRST: Accor unveils next gen Mercure Hotels with new Melbourne property

While away your Friday afternoon by perusing through some stunning pictures of Accor’s swanky new-look Mercure in Doncaster.

Share

CommentComments

Aviation

Qantas threatens to slash cabin crew wages by “almost half” in latest union pay row

by Ali Coulton

The national carrier is once again facing condemnation from unions after applying to scrap its long-haul crew contract in an effort to “push through” a new deal.

Share

CommentComments

Aviation

Operation nest egg: Air New Zealand helps relocate rare kiwi chicks

The airline is doing gods work by flying these three little cuties to their new home where they were treated to an all-you-can-eat worm buffet.

Share

CommentComments

Tourism

Say ‘Aloha’ to the Hawaiian Islands and take a trip that gives back

by James Harrison

Check out the beauty, wonder, and excitement of the islands of Hawaii and explore a holiday destination where you can malama.

Share

CommentComments

Cruise

Crystal Cruises suspends operations as parent company files to windup business

The Hong Kong supercruise operator is winding up operations, leaving the future of its subsidiaries unknown.

Share

CommentComments

Tourism

Celebrity chef duo Gary Mehigan and Manu Feildel star in new tourism campaign for Japan

The staff at Travel Weekly have been rewatching our favourite anime to reminisce about Japan, but Gary and Manu might appeal to a broader audience than Pokemon reruns.

Share

CommentComments

Tourism

Aussie tourism took off in December, but remians well below 2019 levels

If these stats are anything to go by, we’ll be back to worrying about overtourism and carbon footprints in no time! Wait…

Share

CommentComments

Destinations

US slaps “do not travel” warning on Australia as Europe tightens border restrictions

The prospect of fewer American tourists milling about at Darling Harbour we can deal with, but if we have to go one more year without a European summer we’re going to go over the deep end.

Share

CommentComments

Aviation

Union survey reveals transport workers asked to return while COVID positive

Workers who answered the survey, which included passenger transport and aviation workers, are also calling for free RATs. That’s rapid antigen tests, not rodents as we first assumed.

Share

CommentComments

Wholesalers

“This isn’t a label we wish to keep”: Intrepid recertified as world’s largest travel B Corp

The tour operator has gone through another extensive company-wide audit to maintain its title, so why is it looking to pass the baton you may ask? Click here.

Share

CommentComments