$49 million 2020/21 unaudited pre-tax loss for Helloworld Limited.
Helloworld Travel Limited has just released its annual financial results, saying despite the pandemic it has maintained a “strong footprint of 2,224 agencies across Australia and New Zealand” as at 30 June 2021 – an overall decline of 272.
The company noted that it had been an incredibly tough 15 months for its agency networks, and while it expects that some further franchisee and buying group members may opt to close their businesses in the coming six months, “the general attitude is we’ve got this far, let’s stick it out!”
Helloworld’s overall TTV was down 78.4% on the previous year to just over $1.08 billion, with CEO Andrew Burnes saying there had been strong demand for corporate and leisure travel during periods of open interstate and trans-Tasman borders, reflecting pent-up demand.
The company’s workforce has been reduced by about 44%, from 1,578 to 885, with the remaining personnel working reduced hours or placed on stand-down.
May 2021 was the best post-COVID month for the company, with TTV of $141.8 million, compared to an average monthly TTV of $540 million in 2018/19. The company received $23 million in Government wage subsidies, and incurred one-off restructuring costs of $12 million.
Burnes said with Australia on track to achieve an 80% vaccination rate by the end of November, it is expected that state borders will be largely reopened by Christmas, while international borders should begin to open up in the first half of 2022.
“With rapid testing, herd immunity, and the extraordinary desire of the human race to explore, travel will once again become one of the most in-demand experiences of the years ahead, and travel agents will rebound across both sides of the Tasman,” he predicted.
More details in tomorrow’s issue of Travel Daily.