Travellers Choice Profit Soars Members Share In 95 Per Cent of Operating Profit
Download this page in PDF formatImproved trading conditions and strong support for an expanding range of strategic suppliers has helped national retail travel network Travellers Choice post an operating profit of $728,000 for the 2009/10 financial year.
The result includes a trading surplus of $205,000 – a dramatic improvement on the $30,000 net profit recorded for the 2008/09 fiscal period.
Almost 95 per cent of the operating profit will now be redistributed back to Travellers Choice member shareholders in the form of a 6 per cent (30 cents per share) unfranked dividend, and trading rebates based on airline sales and support for strategic suppliers.
Over the course of the past 12 months, Travellers Choice members have received additional trading rebates and override commissions at source from more than 50 preferred suppliers.
Managing Director Gary Allomes said Travellers Choice recognised that agents had faced a challenging trading environment over the past two years and should therefore receive the maximum financial benefit from this year’s profit result.
“By returning almost all of the 2009/10 profit back to shareholders we are ensuring our members are well-positioned to take advantage of a market showing tentative signs of recovery,” Allomes said.
He attributed the growth in Travellers Choice’s net profit for 2009/10 to a variety of factors, including improved trading conditions in the second half of the financial year, growing consumer confidence and a strong Australian Dollar.
“Members have also shown solid support for our stable of preferred suppliers and benefited from a broader range of airline agreements.
“At the same time our management team has continued to enhance member support services, particularly through the ongoing development of our cost-effective email database marketing solution and the Travellers Choice Cruise Club,” he said.
“We will continue to expand new and existing services over the next year as we help members grow their businesses. In particular we plan to focus on important areas such as professional business development and digital marketing.”
Travellers Choice is forecasting further growth for 2010/11 financial year following strong forward sales and signs that current trading conditions will remain positive.
