Thomas Cook Beats Challenging Times
Books Double Digit Growth
Thomas Cook (India) Ltd closed its books of accounts for the last quarter ended October 31st 2003 and posted impressive results for its financial year 2002-2003.
The Board of Directors of the Company has recommended a dividend of 37.5%. The Company registered an increase of Rs 81 million in Income, 8% higher than the previous year. This has resulted in a Profit after Tax of Rs 216 million, an increase of 12 % over the corresponding period in previous year. An amount of Rs 21.6 million has been transferred to general reserve. On a capital of Rs 145.8 million, the Company’s Reserves have swelled to a robust level of Rs 1068.5 million, 7 times the capital. EPS has increased to Rs 14.8 compared to 13.3 for the corresponding period last year.
Feeling upbeat about the Company’s performance is Ashwini Kakkar, CEO & MD, Thomas Cook (India ) Ltd. He says, "The times have been trying for the Travel Industry, especially this year as the War and the Sars hit us right at the start of the summer season. It is our grit and determination to combat the situation and maximise on every opportunity that has helped us achieve our targets." He elaborates that the Company in fact booked a PAT of 146% in the last quarter," which iended on October 31st 2003.
Ashwini is also proud of the recent Golden Peacock Corporate Governance Award accorded to Thomas Cook, last month. "It highlights a wholesome dimension to our business approach and achievements," he adds.
The Company which has increased its focus on the leisure travel segment, concentrated on increasing its share in the outbound segment. Its group tours to Europe saw an increase of over 20%, while domestic tours spurted 50% as compared to last year. Thomas Cook also won the rights to handle two new charters into India. One from Brussels, Belgium and the other from Amsterdam, Netherlands. Both these flights are once a week and will continue till April 2004. The Company has also set its eyes on newer markets - China & Russia.
On the Foreign Exchange turf, the Company faced the challenge of a volatile US Dollar – Euro fluctuations, and despite the adverse conditions it has fared satisfactorily, explains Kakkar. On the Insurance front, the company completed its one year of operation and was awarded the Top Business Partner by Tata AIG. It also offers online insurance services.
With the "Opening up of the Indian sky, we continue to pursue our application for outbound charters from the Ministry of Civil Aviation. “The current travel trends indicate that there will be a rise in demand for cost effective air seats. And as in other continents the market is ripe for such ventures."