Travelzest plc, owner of itravel2000 and Cruise Professionals in Canada as well as a range of travel specialist products in the U.K., has delivered a record first half performance following company-wide restructuring of its operations which began last September.
Sales for the six months ending April 30th increased by 14% to £118.7 million (CAD 187.4 million) while revenue jumped 9% to £18.9 million (CAD 29.8 million). Gross profit increased by 7% to £12.3 million (CAD 19.4 million) with gross profit margins on total transactions value dropping slightly to 10.4% from 11.1%.
The company says booking trends in both North America and the U.K. remain robust.
“We are delighted to report the group’s best performance on record for the first half of the financial year,” says Chief Executive Jonathan Carroll. “Our top-line growth and strong underlying operating profit growth is a testament to the group’s ability to develop and deliver its strategies even in an uncertain global economic environment.”
Carroll credits the restructuring process for the successful results. “The restructuring undertaken in the last financial year provided the necessary reduction in our cost structure, whilst also providing for a more efficient and effective management structure. As we continue to review new opportunities for the remainder of 2010 and 2011, we believe Travelzest is well positioned to capitalize on growth areas in the U.K. and North America.”
Travelzest says its results were not materially affected by tumultuous events that disrupted travel markets in both North America and the U.K.
Carroll says Travelzest’s North American operations continue to expand into related regional markets. “Using new online and offline marketing initiatives, Travelzest’s Canadian brand itravel2000 will be able to enhance and expand its consumer awareness and cross promote other brands such as The Cruise Professionals.”
Asked how it feels to see the positive results of having taken on the Travelzest challenge, Jonathan Carroll told Open Jaw “It was a great team effort. It feels great; there’s a lot for us to be proud of.”