Travel agents

Income down but earnings up reports eDreams ODIGEO after corporate and tours sell off

Posted by Phil Davies on
Income down but earnings up reports eDreams ODIGEO after corporate and tours sell off

Europe’s largest online travel company eDreams ODIGEO saw half year net income fall by 46% to €6.5 million.

This came as non-flight bookings dropped by 11% due to the sale of the company’s corporate travel and packaged tours businesses.

Overall bookings rose by 3% year-on-year, adjusting for the sale of the business travel and tours arms.

The company estimated the impact of the sale of the corporate travel and packaged tours business to be in the region of 149,000 bookings.

“As previously guided, first half performance was tempered by accelerated investment in the transition to mobile and change of our revenue model as well as by the sale of our corporate travel and packaged tours business,” eDreams ODIGEO said.

Total earnings [ebitda] rose by 8% to €58.7 million for the six months to September 30. A strong growth in mobile bookings now represents 37% of total flight bookings against 29%.

The company said it was on track to meet raised full year guidance, with bookings of more than 11.7 million and adjusted earnings of €118 million.

Chief executive Dana Dunne said: “We are pleased with our performance in the first half of the year, with revenue margin growth of 6% and adjusted Ebitda growth up 8% to €58.7 million.

“Our solid results were driven by our strategy, with good results in mobile, leveraging our scale, and our customer proposition.

“In addition we start to see the investments in our change in revenue model paying off, and good progress in our dynamic packages proposition.”


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