Mumbai: India's leading omnichannel travel services, Thomas Cook announced its financial results for the quarter ended 31 March 2022 reflecting a strong rebound with sustained improvement in profitability despite the third wave of Covid-19 (reducing the effective quarter to 45 days), growing geopolitical concerns and a highly delayed restart of India’s scheduled commercial flights.
TCIL has reported consolidated operating earnings before interest, taxes, depreciation, and amortization (Ebitda) of Rs 239 million, a 19 per cent growth over Rs 201 million in Q3 FY22 against a previously reported loss of Rs 361 million in Q4 FY21. The consolidated income from operations for the quarter grew by 46 per cent from Rs 3,573 million for Q4 FY21 to Rs 5,221 million in Q4 FY22. The cash and bank balances of the company at a consolidated level as on 31 March 2022 are at Rs 6,399 million. The company continued its focus on cost prudence with reduced costs for Q4 FY22 at Rs 2,754 million, registering 37 percent saving at pre-pandemic levels in Q4 FY20.
According to the reports, TCIL standalone operating Ebitda of Rs 28 million against a loss of Rs 74 million in Q3 FY22 was led by strong sales recovery by Forex 56 percent and business travel 50 percent. The trend continued in April 2022 with foreign exchange, corporate travel and domestic holidays registering a recovery of 62 percent, 81 percent and 85 percent of pre-pandemic sales respectively.
TCIL income from operations for the quarter grew by 25 per cent from Rs 636 million in Q4 FY21 to Rs 794 million. The margins for the holiday business & foreign exchange grew by 326 bps and 29 bps, respectively.
The company continued its focus on cost prudence with reduced costs for Q4 FY22 at Rs 767 million, registering a 51 per cent saving from pre-pandemic levels of Q4 FY20.
The company’s sustained focus on technology delivered end-to-end digitization across its businesses, including B2C and B2B self-booking/servicing tools and dynamic customization, vendor management and automated accounting/payment solutions. The digital acceleration serves to further augment the company’s omnichannel model towards an enriched customer experience, cost and efficiency benefits.
Thomas Cook's managing director Madhavan Menon said, “Despite the Omicron wave reducing the quarter to 45 days and the reopening of Indian skies for scheduled international flights only on 27 March, our teams have delivered a commendable performance this quarter with an operating Ebitda of Rs 239 million. The group’s strong performance was led by foreign exchange, business travel, sterling holidays, DEI & desert Adventures. With other markets opening up, we expect the other group companies to stage quick recoveries too."
"Our focus on sustainable cost management balanced with a thrust on technology over the past three years is delivering results in the form of speed, productivity and improved customer experience. Recovery is accelerating continually, with our foreign exchange, corporate travel and domestic holidays businesses registering an estimated sales recovery of 57 percent, 81 percent and 99 percent of pre-pandemic levels as of the end of May 2022 and strong pipelines for the coming quarter and beyond," Menon added.