Travellers Choice has joined the Magellan Travel Group as one of the industry’s agency groups giving a share of its profits back to its members.
The announcement was made this morning after revealing a 15 percent growth in pre-tax operating profit or $1.86 million for the 12 months ending June 2015.
According to Chief Executive, Christian Hunter, the Company’s sustained profit was driven by sales growth across all key product categories.
Over the year, the agency group recorded $2.1 million in additional commissions, incentives and overrides – a 39 percent increase on the prior year.
Congratulating the team on their efforts, around 95 percent of the 2014/15 profit will be returned directly to members, who remain the Company’s sole shareholders.
All member shareholders will receive a five percent (25 cents per share) unfranked dividend, with the majority of the remaining operating profit distributed through trading rebates based on sales support for airline and wholesale partners.
“During the same period our members have also earned supplementary override commissions at source from our network’s broad portfolio of high-calibre preferred suppliers.”
Christian Hunter, Travellers Choice CEO
“Given that our membership fees are among the lowest of any major network in Australia, and our support services are second-to-none, Travellers Choice member shareholders continue to receive an outstanding return on investment.”
Over the year, the retail group says it benefiting from new high-quality and overall income rising by 14 percent during 2014/15.
“This trend also reflects the fact that our innovative and highly-responsive marketing support services are continuing to drive enquiries to members while at the same time helping them operate more efficient and professional businesses.”
The announcement of Travellers Choice’s third consecutive record profits follows the group’s recent NTIA honour of being named Australia’s Best Travel Agency Group.
Travellers Choice member shareholders will meet in Melbourne in late November for the group’s Annual General Meeting and 2015 Shareholders’ Conference.
