FCM Travel Asia leads with 44 per cent revenue growth, ET TravelWorld

<p>Picture used for representation.</p> — Picture used for representation.

Flight Centre Travel Group has announced robust financial results for the first half of the fiscal year 2024, ending December 31, 2023, with an underlying profit before tax (PBT) of AUD$ 106 million.

The leisure segment of the business recorded an outstanding AUD$60 million in underlying PBT, surpassing pre-pandemic levels by a significant margin. This achievement represents a remarkable 30-fold increase compared to the same period in FY23 and a doubling of the underlying PBT from FY19.

Corporate PBT also witnessed substantial growth, rising by 53 per cent to AUD$93 million, driven by strong organic expansion and advancements in the Productive Operations initiative.

Total transaction value (TTV) soared by 15 per cent to AUD$11.3 billion, marking the second strongest start to a fiscal year for FCTG, trailing only behind FY20 1H. Corporate TTV reached a record AUD$5.9 billion, while leisure TTV surged to AUD$5.2 billion, driven by robust performance across various brand segments.

Sunny Sodhi, Managing Director, FCM Travel India, attributed the significant 44 per cent revenue growth in Asia to stellar performances in Southeast Asia, India, and the reopening of China. Sodhi highlighted India’s strong economic performance, strategic decisions focusing on core business offerings, technological investments, and leveraging Global Business Solutions for increased automation and productivity.

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Chris Galanty, Global Corporate CEO, Flight Centre Travel Group, emphasised the strong start to FY24 globally, with corporate businesses contributing 52 per cent of the total transaction value. Galanty praised the record sales achieved across different geographic regions, underscoring the company’s healthy market share growth and high customer retention rates.Galanty also highlighted the strides made in technology, including the mass adoption of the Corporate Traveller Melon platform and advancements in the FCM Platform. Moreover, efforts towards clear and consistent strategies, including ‘Grow to Win’ and productive operations, have been successfully executed globally.

Looking ahead to the second half of FY24, Flight Centre Travel Group anticipates continuing its momentum, with further advancements in technology and the onboarding of major customers globally.