Kuoni improves bottom line earnings

Kuoni improves bottom line earnings

The Kuoni Group has reported improved bottom-line results for the first half of 2010. Earnings before interest and taxes was reported at CHF38.8 million and turnover was down 0.2% to CHF 1756m. Cash flow soared from CHF 29 million to 115m, although the ash cloud incurred 15.2m losses. “The Kuoni Group achieved bottom-line results for the first half of 2010 that are a tangible improvement on the same period last year,” said Group CEO Peter Rothwell. “Our EBIT result was improved thanks to an encouraging increase in margins and lower costs.” Bookings for the group have increase 9% over the last eight weeks and as of 8 August, Kuoni’s tour operating businesses bookings were at 2009’s level. “Given the stronger booking levels that we are seeing for the second six months, we expect to post a turnover that is a low single-digit-percentage increase on the previous year,” said Rothwell. “At the same time, sustainable cost savings and improved margins should result in an underlying EBIT margin close to 3 % for the full year.”

Gary Marshall
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Gary Marshall
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