Webjet’s revenue soared during the first half but the collapse of Thomas Cook has proven a $44 million weight on the travel agent’s result
Webjet’s revenue grew 24 per cent to $217.8 million for the six months to December 31 on the back of continued growth in its WebBeds business, which reported an 81 per cent increase in earnings before interest, taxes, depreciation and amortisation to $57.3 million.
But Thomas Cook, the British travel group which collapsed in September, left $44 million owed to Webjet.
This was written off as a bad debt by the Melbourne-based firm and contributed to reducing statutory net profit after tax by 64 per cent to $9 million.
Underlying net profit for the period rose 36 per cent to $43.2 million.
Managing director John Guscic told the ASX on Wednesday that while the Thomas Cook situation was the “key disappointment” during the period, given the company’s strong cash position and balance, it had no material adverse impact on its liquidity.
Mr Guscic also said its WebBeds business had become the fastest-growing and second largest business to business accommodation provider in the world, with staff in 30 countries selling to more than 170 destination countries.
Webjet announced a fully franked interim dividend of nine cents per share, up 0.5 cents from the same period last year.
AAP