TCIL ANNOUNCES Q1 RESULTS
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Thomas Cook (India) Ltd (TCIL) has declared its consolidated Financial Results for the Quarter ended 31 March, 2014 with an increase in income from operations of 454 per cent (Rs. 869 Mn. to Rs. 4.8 Bn.), Profit Before Tax of over 467 per cent (Rs. 22 Mn. to Rs. 127 Mn.) and Profit After Tax of over 470 per cent (Rs. 14 Mn to Rs. 80 Mn.), Vs the corresponding quarter of 2013. Q1 2014 (unlike Q1 2013) also integrated the business performance results of Ikya Human Capital Solutions – acquired in May 2013.
Despite the first quarter of the year being the traditional lean season for the Outbound Travel Industry, the now diversified Thomas Cook (India) Group, saw strong results delivered via both its strategic investments in Ikya Human Capital Solutions in 2013 on one hand, and healthy performances by its Inbound and Foreign Exchange businesses on the other. Strategic focus via its cash conservation project also resulted in significant increase in free cash flows on an annualised basis.
The three pronged drive by the company - on retail focus, product innovation and efficient working capital management- also helped deliver this impressive overall performance.
The Forex business’ strategic focus on Payment Solutions continued to show delivery with the Company’s multi currency Borderless Prepaid Card registering impressive uptake with over 75500 cards sold; a loaded value of US$ 250 Mn. and a market share of approximately 12 per cent, making it the largest non bank player in the space. The recently launched “Incredible India Card” a prepaid Rupee value card, in partnership with the Ministry of Tourism and Yes Bank also offers growth potential to the Forex business.
Commenting on the Results, Madhavan Menon, Managing Director, TCIL said, “Given that this is the traditional low quarter for our largest businesses – Outbound and Foreign Exchange - the consolidated results are admirable with our Inbound team making a remarkable turnaround as also strong delivery from our Forex and E Biz teams. This period also, unlike the same quarter in 2013 - also reflect the benefits of the Ikya Human Capital acquisition in 2013 that continues to deliver handsome results for the group. As we go into the next quarter that is the peak season for Outbound and Forex, we will remain focused on sustainable growth and leveraging our long term strategic investment in Ikya, as also the strong synergies of our recently announced merger with Sterling Holidays and are confident of a very strong FY 2014 for the Thomas Cook India Group!”