RECORD PROFIT FOR FLIGHT CENTRE

Written on the 26 February 2014

RECORD PROFIT FOR FLIGHT CENTRE

THE weaker dollar hasn’t abated Australia’s love of travel, with Flight Centre (ASX:FLT) announcing record results in the half year to December.

FLT announced a net profit of $110.8 million, a 20.7 per cent jump from $91.8 million in the previous corresponding period.

Revenue increased 15.1 per cent to $1.1 billion, attributed to sales exceeding network growth, store expansion and overseas earnings before interest and taxes (EBIT) up 30 per cent.

Managing director Graham Turner (pictured) says the global sales network has grown, hiring 1100 fulltime staff in the past year.

“Over the past four years, we have now added more than 4000 people to our workforce.

“The Australian business has, so far, been the key contributor to overall results although we have also seen continued growth in offshore earnings,” he says.

FLT also noted its niche leisure and corporate brands have performed well, generating half of turnover in Australia.

There is ongoing network expansion in the UK, with a 33 per cent increase in EBIT to $16.3 million in December 2013.

Operations in New Zealand experienced 80 percent growth in EBIT, while losses have been recorded in the US due to severe weather conditions.


The group opened its 2500th store, with more shops planned in the next period in Australia and overseas – continuing its transition from travel agent to travel retailer.

Turner says although the trading results are promising, it’s too soon to forecast the full year.

“The second half is traditionally our busiest period and we performed strongly during these peak trading months last year, meaning it becomes more difficult to maintain high growth rates as the year progresses.”

FLT will pay a fully franked interim dividend of 55 cents per share on April 17, making a total of $1 billion paid to shareholders since float.

Late this morning price per share was trading down 0.74 per cent at $49.43.

 

Latest News

SANTOS CLAWS BACK LOSS DESPITE HEAVY IMPAIRMENT CHARGES

SANTOS Limited (ASX: STO) has reported a loss of $640 million for the first six months of 2017, a huge reduction o...

NINE POSTS $203 MILLION LOSS ON FREE TO AIR TV WRITEDOWNS

NINE Entertainment Co (ASX: NEC) reported a $203.4 million loss for FY17 thanks to $327.1 million worth of write-d...

CHEAP AIRFARES CUT FLIGHT CENTRE PROFIT, TURNER REMAINS OPTIMISTIC

A GLOBAL travel trend towards heavily discounted airfares took its toll on Flight Centre's (ASX: FLT) profit m...

ACCC CLEARS THE WAY FOR BILLIONAIRE INVESTORS MURDOCH AND GORDON TO BUY TEN NETWORK

THE COMPETITION watchdog has cleared a proposed takeover of the Ten Network by billionaire investors Lachlan Murdo...

Related News

ACCC CLEARS THE WAY FOR BILLIONAIRE INVESTORS MURDOCH AND GORDON TO BUY TEN NETWORK

THE COMPETITION watchdog has cleared a proposed takeover of the Ten Network by billionaire investors Lachlan Murdo...

COMMBANK FACES 'VERY LARGE' CLASS ACTION LAW SUIT OVER MONEY LAUNDERING SCANDAL

THE Commonwealth Bank is facing a potential massive class action from shareholders because of a big drop in its sh...

REPORTING SEASON WRAP: WEDNESDAY HIGHLIGHTS

The A2 Milk Company (ASX:A2M) has almost tripled its profits and increased total revenue by 56 per cent off the ba...

THE MOTHER OF THREE WHO HAS SHARK TANK'S ANDREW BANKS AND STEVE BAXTER FIGHTING TO INVEST WITH HER

NOT every entrepreneur on Shark Tank Australia convinces the 'sharks' that their business is worthy of inv...

BOOK YOUR FUNCTION SPACE HERE

 

 

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter