Diversifying its businesses has helped Holidaybreak remain strong in a difficult market, the European specialist holiday group said this week.
Issuing its interim management statement for October 1 to February 12, Holidaybreak said it would continue to look at acquisitions to expand its business.
“The diversity of Holidaybreak’s specialist businesses, strengthened since the creation of the Education Division, gives the group additional resilience in what may be a more difficult consumer environment,” said the statement.
“We continue to review potential acquisitions and organic investment proposals to expand the Group, so that we maximise the opportunities available to us.”
The group said trading in the current financial year was in line with expectations, with overall group sales up 6% ahead of last year.
Its Education Division, formed from the acquisitions of PGL and NST last year, now accounts for around 24% of pro forma group revenues.
Holidaybreak said this division was currently 78% booked for 2008 and 19% for 2009. Sales for the division are currently 10% above last year on a like-for-like basis.
Meanwhile, sales intake for Hotel Breaks is currently 8% above last year, with packaged business into London remaining strong.
Adventure Travel sales are 3% up, but events in Kenya and the Antarctic are expected to reduce full-year revenues by about £2 million.
Camping capacity has been reduced by 5% and sales to date are 1% up over last year. The division is currently over 67% booked for the whole season.
Holidaybreak said revenues from its European businesses have benefited from the strong euro, though this will be offset by the translation of euro costs.
By Bev Fearis
