Thomas Cook (India) Limited
Regd. Office: Thomas Cook Building, Dr. DN Road, Fort, Mumbai 400001,
Revenues from operations expand 17% to Rs 786 million
* Operational Profit (PBIT) at Rs 208.1 million up by 32%
Operational PBT up to Rs 124 million, a growth of 28%
Operating margins strengthen to 26%
PAT at Rs 78.9 million, EPS for the quarter at
* Operational profits (PBIT / PBT) before one time depreciation credit of Rs. 18.3 million for the previous year
Mumbai, April 28, 2008:
Thomas Cook (India) Limited (TCIL) today announced its financial result for the first quarter ended March 31, 2008. The Company’s revenues have increased by 17% while Profit before Interest & Tax (PBIT) has grew by 18.5%. Net Profit after Tax stood at Rs 78.9 million, an increase of 7.3% over the last year translating to a nonannualized EPS of Re 0.45. In the corresponding quarter last year, with regard to aligning the Group policy on depreciation with one of its subsidiary, a one time credit of depreciation of Rs 18.3 million. Excluding this exceptional item, the increase in operational PBIT is 32.3%.
Operational PBIT margins have improved by 320 basis points to 26.5% from 23.3%. Core Profit before Tax (PBT) has also improved by 28.1% to Rs 124 million. Increased borrowing to fund business expansions and higher cost of debt during the quarter have resulted in rise in interest cost.
During the quarter, the Company has issued Preference Shares of Rs 1,050 million for a term of one year. The expenses incurred on issue of Preference Shares and Premium payable on redemption of these shares shall be adjusted against the Share Premium to be collected from the proposed Rights Issue. Proportionate charge of these expenses for the current quarter aggregates to Rs. 33 million.2
Financial performance has been driven by strong growth across all business segments viz. Foreign Exchange, Leisure Travel and Corporate Travel. The Company’s subsidiaries in India and Mauritius have also contributed to growth. Commenting on the performance of the company Mr. Madhavan Menon, MD said, “The Company has registered a considerable amount of growth in the top line. Both the revenue and profitability have risen by leveraging on the expanded network and improving operating margins owing to the strong synergy between TCIL and LKP Forex Ltd.”.
Update on the Company:
On 7th March 2008, Thomas Cook Group plc (“TCG”) UK, a Company listed on the London Stock Exchange with a Market Capitalisation of over US$ 6 billion, and the second largest Travel Group in Europe had announced their decision to acquire TCIL from Dubai Financial Group LLC (DFG). This acquisition is in line with TCG’s strategy to enter India, which is one of the fastest growing markets for travel. The benefits to Thomas Cook India Limited will be the continued use of the Thomas Cook brand name and access to the Global Network of TCG.
Initiatives in the year 2008:
- Launched a Post Graduate Business Management in Tourism program with NMIMS
- Supported the launch of Travel and Lifestyle magazine “Globe Trekker”
- E-business will launch an Online Travel Business Portal
- Focus on Domestic Tourism – with Pan-India roadshows
- Organic expansion of Branch Network Taking forward the Co-operation with Japan Travel Bureau (JTB Corp.)
About Thomas Cook (India) Limited
Thomas Cook (India) offers a broad spectrum of travel and related services such as package tours, currency exchange and travel insurance as well as hotel and flight reservations. Thomas Cook has been present in India for over 125 years and operates a total of 174 offices at various locations in the country and has operations in Sri Lanka & Mauritius. The Company has a franchise network of 26 stores across tier-II and tier-III towns. It employs close to 2,500 staff and generated revenue of Rs 2,862.4 million in CY07. In its initiative to be a ‘One Stop Shop’, the Company offers unique travel products to its customers. The Company also issues credit cards as ‘Thomas Cook Titanium Card’ and foreign currency Debit Card. Its portfolio also includes products designed specially for students traveling abroad for higher studies. Recently, the Company was acquired by Thomas Cook Group PLC from the Dubai Financial Group.
For more information on the Company, visit www.thomascook.co.in
About Thomas Cook Group plc
Thomas Cook Group plc was formed on 19 June 2007 by the merger of Thomas Cook AG and MyTravel Group plc. The new company is one of the world’s leading leisure travel groups with sales of around £9 billion (€12 billion), 19 million customers, 30,000 employees, a fleet of 97 aircraft, a network of over 3,000 owned or franchised travel stores and a number of hotels and resort properties. It has operations in four regions: UK & Ireland; Continental Europe (Germany, Austria, Belgium, France, the Netherlands, Poland, Hungary, Slovenia and Slovakia); Northern Europe (Sweden, Norway, Denmark, Finland) and North America (Canada and USA); and German airlines operating under the Condor brand.
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