FCTG Middle Age Results – FY25 – EMEA
Flight Center Travel Group (ASX:FLT) has released its six-month results to the Australian Stock Exchange. Click here to view the full announcement.
FLT achieved pre-tax pre-tax profit of $117 million in the first half of fiscal year 2025. The results represent 7% growth compared to the previous year.
Corporate operations increased by 2% in the results of H1 total transaction values for 2022, with UPBT rising by 4% during the short-term integration period, increasing $96 million to AUD.
Comment from Steve Norris, managing director of EMEA's flight center travel group:
“For many businesses, business travel is not a luxury and continues to be necessary. This is one of the key aspects of them to survive and thrive beyond the EMEA region. Corporate travelers and FCM travel are gateways for businesses to grow and expand.
“The last six months of 2024 have made great strides into the 'Grow to Win' model with productive operation and advancement within the AI space, allowing people behind the scenes to streamline their customer experiences while increasing the time to serve their clients best.
“Add to this, we have achieved major systems transitions across Europe, with upgraded systems currently fully effective in telephone, mid-office and CRM usage.
“FCM travel in the UK is a highlight of the outstandingly grown corporate space, with over 700 customers actively using Corporate Traveller UK's melon platform.
“One thing that's still a clear differentiator is that we are very leading by those people. For example, AI is a better, better, more streamlined means of operation, with more production volumes, but our people remain the driving force behind the wheels.”
Commented by Chris Garanti, Global Corporate CEO of Flight Centre Travel Group:
“The corporate pillars of the Flight Center Travel Group have once again achieved a record gross trading value of $6 billion (TTV) in the first half of the fiscal year.
“One of the key drivers of this is the significant investment in productive operational initiatives to enhance customer experiences to unleash a new era of profitable growth. This, coupled with AI utilization, provides a 15-20% forecast of productivity growth between FY24 and FY26.
“Productive operation will create a global operating system for both flagship brands that drive all activities through the right channels, which will reduce costs, increase revenue and please our customers through personal services and automation.
“When it comes to AI, our Global Centre of Excellence continues to thrive and is at the heart of the transformation we are making to implement to automate simplicity.
“Now we have a solid pipeline of new account wins to drive future TTV growth, in order to win over $800 million in the FCM Travel fiscal year.
“When it comes to small business professional business travelers, we have secured a large number of small accounts using the 'stick rate' of new clients supported by rapid onboarding and follow-up.
“Our goal is continuous growth and we are doing this by targeting and thrilling the specialist sector to help expand the stage, screen and sport under new leaders. FCM meetings and events will also resume globally, with further expansion soon.
Comment by Bonnie Smith by GM Corporate Traveler and South African FCM.
“South Africa has experienced double-digit revenue growth driven by significant client victory over the past year, which has started trading at a robust level throughout the first half of this fiscal year. Our sales team enters the New Year with a clear strategy, effectively demonstrating value in the market and continues to expand our new client base.
“At the same time, we ensure that our ongoing investment in the technology stack, both in our highly focused client retention initiatives and both client-focused solutions and internal efficiency, delivers an exceptional customer experience consistently.
“With our focus as we look ahead, our focus is revenue growth and increased productivity across our business. By equipping people with the right tools and strategies, we will continue to provide high-touch services and cutting-edge solutions to set up FCM and corporate travelers in South Africa, while driving sustainable profit growth.”
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