Flight Centre on track for record sales
Make us a preferred source
Make us a preferred source on Google
The news: Flight Centre has reaffirmed its full-year profit guidance and says it is on track to deliver record sales this fiscal year.
The numbers: The travel agency confirmed its full-year profit before tax guidance range of $300 million to $340 million after profit margins rose 60 basis points in the March quarter. It also expects to deliver record full year sales with FY24 total transaction volumes (TTV) to surpass its FY19 peak of $23.7 billion.
The company reported a solid third quarter performance with profit before tax margin above 2% in the leisure segment and at 1.7% in corporate travel, ahead of significant benefits to be realised from its productive operations initiative.
The context: Flight Centre said revenue and cost margins are tracking well ahead of the prior corresponding period and set for further improvement as market recovery continues.
Outbound travel capacity is now tracking at 95% of pre-COVID levels, with international airfare prices falling from pandemic-era highs, which is likely to stimulate demand, it said.
The source: ASX announcement
