Webjet reports record results.
Webjet has just released its figures for the year to 30 Jun, with TTV up 9.4% to $967 million and net profit after tax surging 195% to $19.1 million, compared to $6.5m for the previous year.
The company said the outcome was despite a “flat market in the core Australian business,” with a key contributor being an $8 million turnaround in the Zuji business which is now back in the black.
Margins increased significantly across the business, with the prior year’s result affected by several one-off costs including the acquisition of Zuji. Excluding these amounts the net profit after tax for 2013/14 is up 33% on last year’s $14.4m “normalised” figure.
Key developments during the year included a focus on improving the user experience, with new mobile optimised car and hotel sites, ongoing growth in the sale of packages and new product launches including the Webjet Exclusives deals offering and a brand new Webjet Cruise offering.
In the Zuji business unprofitable business streams have been eliminated, with the brand retaining market leading positions in Singapore and Hong Kong, as well as extending the partnership with Virgin Australia to operate Virgin Australia Holidays for a further three years.
CEO John Guscic confirmed that the recently announced acquisition of European B2B accommodation supplier Sun Hotels would settle at the end of this month, with this business to share inventory with the company’s Middle East-based Lots of Hotels operation.
More information in today’s issue of Travel Daily.