Thomas Cook moves up with a 36% increase in profit in three quarters
Continuing to move ahead on the rising curve, Thomas Cook (India) Ltd posted healthy results for its third quarter ended on July 31, 2004. The company follows the financial year of November to October.
The company registered a revenue of Rs 348 million for the third quarter, 27% above the corresponding quarter last year. The Profit before Tax for the quarter is posted at Rs 122 million, an increase of 25% over the corresponding period last year. This brings the year to date Profit before Tax to Rs 319 million which is 36 % above the corresponding period last year. The Profit after Tax for the third quarter is Rs 75 million, and for nine months it stands at Rs 200 million which is an increase of 34% over the corresponding period last year.
"After the September 11 incidence, this is the first year that has been steady and the travel & tourism industry saw a positive growth across all its segments. We have done well in all our businesses and achieved the desired targets," says Ashwini Kakkar, CEO & MD, Thomas Cook (India) Ltd.
In the Leisure Travel business, Thomas Cook witnessed about seventy percent growth as compared to last year and the company in tends to expand its inbound market through new niche markets like Adventure and Eco Tourism and participation in various International trade fairs.
The Foreign Exchange business too witnessed an upswing with a good outbound tourist season as well as the student exodus overseas for higher studies. The company has been actively wooing the student segment and launched a Fly Home Free Contest to tap this fast growing segment. Thomas Cook also hopes to capture a larger pie of the travellers cheques market with inclusion of Amex travellers cheques in its product range.
The Insurance business too has been active and launched two new products - EmigrationCare for those relocating overseas for employment and a revamped TravelCare, an overseas travel insurance.
The Travel Management division with a notable portfolio of corporate clients is also looking at expanding its network of services to now fast developing metros like Ahmedabad and Cochin.
Thomas Cook (India) Ltd which has overseas operations in Mauritius and Sri Lanka is also on track regards its expansion plans in the SAARC and the Indian Ocean Rim region. In Mauritius it opened a new office at Port Louis and has been appointed the GSA for Condor and Lufthansa airline. In Sri Lanka, too it has been appointed the GSA for Condor Airline with scheduled flights between Sri Lanka and Frankfurt.
Kakkar, who is also elected as President of the Bombay Chamber of Commerce and Industry this year, is upbeat about the outlook for travel and tourism industry. "The markets did see a slowdown during the pre and post election period and did have concerns about the effect on Reforms with the coming in of the new Government and the influence of the Left. The World Travel and Tourism Councilís India 2004 report indicates that the travel and tourism demand is expected to grow by 8.8% per annum in real terms between 2004- 2014 and will be one of the highest in the world."