CON-X-ION SHIFTS INTO HIGHER GEAR
Written on the 26 June 2014 by Nick Nichols
BUS transfer group Con-x-ion has driven harder into the Queensland tourism market through its second acquisition on the Sunshine Coast in less than a year.
The Gold Coast company has just acquired Sun-Air Bus Services after securing Col’s Airport Shuttles in June last year.
Both Sun-Air and Col’s Airport Shuttle were the main players in the Sunshine Coast bus transfer market and they bring to 100 the number of buses under the Con-x-ions banner.
Con-x-ion managing director Stuart Stratton (pictured) says the acquisitions have effectively doubled the company’s size over the past year and is poised to boost revenue to about $20 million in the 2015 financial year.
Con-x-ion is on track for revenue of $14 million this financial year.
Con-x-ion has already extended its reach nationally, as far north as Cairns and south to Sydney and Melbourne through strategic partnerships.
Stratton says the focus is on bedding down the latest acquisitions before growing further, although he tells Gold Coast Business News that another smaller deal is under consideration at present.
“Our focus is first to bed down south-east Queensland and get it under the one banner,” he says.
“Then we’ll be looking to southern cities for opportunities because we have pretty much grown to the level we can up here.
“We want to entrench ourselves here and get our systems and processes right and working really well. That will give us the advantages we need to step into other markets.
“We currently have that scale where we can invest in the back end of the business to give us a competitive advantage.”
Con-x-ion currently employs about 200 staff, and up to 250 with casuals.
Stratton says the Gold Coast market has been contributing strongly to the company’s growth outside of the acquisitions.
“Our Gold Coast business is up about 10 to 12 per cent on last year. It’s steadily growing.”
Stratton says thesource of that growth is spread evenly between a rise in inbound visitor numbers and outbound locals going on holidays.
He says further growth could be expected from a focus on premium transfers, where clients hire the entire vehicle.
Author: Nick Nichols