Flight Centre TTV up 13%
Flight Centre Travel Group has just announced a profit before tax of $156.9 million for the first half of 2016 financial year, surging 11.2% on the year prior. (The figure includes an $11 million refund from the Australian Competition & Consumer Commission incured during FY14 in a competition law test case which was overturned on appeal during FY16).
Flight Centre’s net profit after tax (including the ACCC refund) was $116.7 million, an increase of 16.3%.
Total Transaction Value (TTV) jumped 12.8% to $9.18 billion – up from $8.14 billion, while revenue jumped 15% to $1.3 billion during H1FY2016.
Flight Centre said it achieved record global TTV in “challenging conditions”, and that a string of new investments has led to a “slight slowdown in short-term profit growth”.
The company has announced a number of new initiatives, including further online & digital enhancements (such as the start-up of the Aunt Betty brand, Travel Money’s Key To The World app), a planned expansion into Europe and Mainland China high-end retail travel sectors, as well as new “flexible workplace arrangements” aimed at retaining and attracting parents and others “who prefer to work outside traditional hours”.
FLT managing director Graham Turner said “Overall, we have started the year reasonably, given the conditions and the investments we have made.”
Further details in today’s issue of Travel Daily.