Fly away Aussie, keep flying because it’s boosting the Travellers Choice business. So-much-so that air ticket sales were attributed to delivering another profitable year.
Travellers Choice saw its pre-operating profit for the 2018/19 financial year climb to some $2.05 million. That’s a 32 percent increase on the prior year.
The big result preserved the brand’s perfect record of 42 consecutive years of returning a profit. Impressive right? Read on to find out what’s boosting the business:
HOW DID TRAVELLERS CHOICE ACHIEVE PROFIT, AGAIN?
Airline ticket sales, according to Managing Director Christian Hunter.
The number of airline tickets processed year-on-year grew 13 percent, and around 12 percent of them were international airline tickets.
Of course, there was more to the result, including increased revenue from preferred agreements, which Hunter saw as proof of members’ abilities to send business to valued partners.
Also attributed were benefits from a reduction in costs, and continued investment in support services (such as a Member Mentoring program).
HOW WILL THE PROFIT BE PUT BACK INTO THE BUSINESS?
Well, part of it is being returned to the people who helped achieve it – members.
Some 88 percent of the 2018/19 profit will be distributed among members, who remain the company’s sole shareholders. All Travellers Choice member shareholders will receive a five percent unfranked dividend (25 cents per share).
The majority of the remaining operating profit will be distributed through trading rebates based on sale support for preferred agreements.
HOW ARE FINANCES SHAPING UP FOR 2019/20?
It’s still early days, says Hunter, but it’s looking positive.
“We are anticipating a strong profit performance for the Company 2019/20,” Hunter said.
Click here for more information on Travellers Choice.