ONLINE retailer travel.com.au, which also operates lastminute.com.au in the Australian market, may post its first profit since being listed on the Australian Stock Exchange in 1999. Around that time its shares, now worth around 33 cents, traded as high as A$2.80. Fast forward to the present and the company estimates its 06/07 earnings before interest, tax and depreciation will range between A$400,000 and A$500,000, a forecast that excludes extraordinary items such as A$250,000 in costs related to lastminute.com.au.
Over the first five months of 2007, the company reports that “online Total Turnover Value (TTV) and revenues for travel.com.au increased by 70% and 76%, with total revenues increasing by 40%. For lastminute.com.au, hotel booking numbers for the period increased by 27% over the previous year, while TTV and revenues for the brand increased by 30% and 34% respectively. Group TTV and revenues for the five months increased by 33% and 36% … online revenues increased by 44% (and) now represent around 80% of total revenues.”
In other news, TVL has deferred the release of its new travel.com.au website until the end of this year and said “there are signs that competition in the online travel sector is now intensifying” and that “it is too early to determine the sustainability or likely rate of future growth”. TVL Managing Director Adam Johnson will be speaking at TRAVELtech in Sydney on August 28.
June 22, 2007